In a significant operation, the Central GST Division in Anantapur seized 40.68 lakh cigarettes valued at ₹2.35 crore at Tapovanam Circle in Anantapur town on Sunday.
CGST Anantapur Division after the Interception Operation
Acting on precise intelligence regarding illicit activities, the division’s investigators intercepted a container lorry en route from Patna (Bihar) to Cuddalore (Tamil Nadu) carrying a consignment labeled as ‘maida’.
Although the driver initially claimed the consignment’s value to be ₹4.8 lakh, further investigation revealed that the GST registration associated with the shipment had been canceled by the department suo motu in June of the previous year.
Upon conducting a thorough search, officials discovered 40.68 lakh cigarettes of a local brand concealed in 139 cartons beneath the maida bags. Given the false declaration of the nature and value of the goods using an invalid GST registration number, the authorities, under the guidance of Assistant Commissioner of Central Tax (Anantapur CGST Division) G. Anitha, confiscated the goods along with the lorry, the latter estimated to be valued at around ₹20 lakh.
In tax administration, the provisions for Inspection, Search, Seizure and Arrest are provided to protect the interest of genuine taxpayers (as the tax evaders, by evading the tax, get an unfair advantage over the genuine taxpayers).
These provisions are also required to safeguard the government revenue. These provisions also act as a deterrent for evaders and checking evasion provides a level playing field for genuine taxpayers.
However, Search, Seizure and Arrest should be exercised, only in exceptional circumstances and as a last resort, to protect the Government revenue. This power should be used keeping in mind the Principles of Natural Justice, issue of S C N & other legislative law.
Section 68 of the Goods and Service Tax Act details Interception/Seizure of Goods in Movement
The central or state govt. may require the person in charge of a conveyance carrying any consignment of goods of value exceeding a specified amount to carry with him such documents as may be prescribed and also to carry such devices with him in such manner as may be prescribed in this behalf. [E-way Bill for goods worth 50,000 or more].
Where any conveyance referred to in sub-section (1) is intercepted by the proper officer (Inspector) at any place, he may require the person in charge of the said conveyance to produce the aforesaid documents and devices for verification, and the said person shall be liable to produce the documents and devices and also allow inspection of goods.
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