Goods in Transit — Section 129 of the CGST Act — The Petitioner challenged notice issued by the respondent under Section 129 of the Act. The Petitioner is engaged in the manufacture and sale of bicycles. The respondent detained the consignment of bicycles on the ground that that there was a time delay between the invoices and transportation which raised suspicion that consignor and consignee colluded for multiple transport of goods with the same set of invoices and there by evaded tax. The petitioner submitted that the amount deposited the amount for the purpose of releasing the detained vehicle and consignments. The respondent submitted that supplier issued invoices 21 days and 7 days prior to the time of removal of goods, which was in contravention to the provisions of the Act. The petitioner argued and referred Section 31 of Act and pointed out that an invoice could be issued either at the time of removal of goods or prior to the delivery of the goods.
Held that:- The Hon’ble High Court held that since adjudication is already pending, it is only proper that a conclusion is not entered into at this juncture. The Court directed complete the adjudication proceedings within a period of two months.—Hero Ecotech Ltd. Vs. The Asst. Sales Tax Officer [2020] 26 TAXLOK.COM 044 (Kerala)