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IN THE HIGH COURT OF JHARKHAND AT RANCHI
TARLOK SINGH CHAUHAN, SUJIT NARAYAN PRASAD
Pratik Enterprises – Appellant
Versus
Principal Commissioner, CGST and Central Excise (Headquarters) – Respondent
| Table of Content |
|---|
| 1. writ application for relief against penalty. (Para 1) |
| 2. goods inspected revealing discrepancies. (Para 2) |
| 3. allegations of tax credit misuse. (Para 3 , 4) |
| 4. detention of goods and issuance of notice. (Para 5) |
| 5. petitioner claims compliance with gst rules. (Para 6 , 7) |
| 6. loading point discrepancy confirmed. (Para 8) |
| 7. petition dismissed; inadequate grounds for relief. (Para 9) |
| 8. final dismissal of petition. (Para 10) |
JUDGMENT :
Tarlok Singh Chauhan, C.J.
1. The instant civil writ application has been filed for grant of following reliefs:
(i) For the issuance of an appropriate writ/order/direction or a writ in the nature of certiorari quashing and setting aside the order dated 17.3.2025 passed in GST MOV-09 under Section 129 (3) of the Central Goods and Services Tax Act, 2017 ("the Act"), whereby penalty of Rs. 3,43,075/- has been levied, specifically for the reason that the said order fails to prove any intent to evade on part of the Petitioner and further because all requisite documents for conveyance of the goods were admittedly available with the petitioner.
(ii) For the issuance of an appropriate writ/order/direction or a writ in the nature of mandamus directing th
The imposition of penalties under the GST Act for discrepancies in compliance is justified when evidence shows violations of declared loading points and intent to evade tax obligations.
The imposition of penalties without adherence to principles of natural justice renders administrative orders unsustainable.
Intention to evade tax is a prerequisite for imposing penalties under GST Act; mere technical issues should not warrant such penalties.
Intent to evade tax is a necessary condition for proceedings under Sections 129 and 130 of the CGST Act; absence of such intent invalidates penalties imposed under these sections.
For imposition of penalties under the GST Act, intent to evade tax must be established; mere expiration of documents does not suffice.
Minor procedural lapses in compliance with tax regulations should not attract severe penalties, especially when there is no intent to evade tax.
Minor documentation discrepancies do not imply intent to evade tax, and valid transport documents render penalty imposition inappropriate.
Minor errors in e-way bills do not justify detention under Section 129 of the CGST Act if the goods are otherwise properly documented.
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