The Maharashtra GST Department has issued an internal circular in relation to the issuance of orders of provisional attachment and restoration thereof on the BO System.
The action of provisional attachment as laid down under section 83 of the GST Act(s) is a protective measure to safeguard revenue during the pendency of proceedings. It freezes the attached assets due to which the taxpayer is refrained from disposing of them and against this background, the action of provisional attachment assumes prime importance in protecting the interests of revenue. The provisions of section 83(1) have been amended w.e.f January 01, 2022, and its scope has been widened wherein specified sections covered earlier are replaced with complete relevant chapters of the GST Act(s).
The Internal circular 12A of 2021 dated August 17, 2021, laid down certain guidelines on the procedure of provisional attachment. Para 7 of the said circular explains in detail the procedure for issuance of DRC-22 on the BO system. Para 7.1 clearly states that the provisional attachment orders shall be passed to the BO system only. However, despite said instructions, the field officers are not issuing the DRC-22 and subsequent action in DRC-23 on the BO system due to certain system glitches. These system issues have been resolved now.
In addition to this, passing the orders and decisions on the BO system will ensure accuracy in MIS reports-ASMT 5.1 and ASMT 5.2 and enable proper & effective monitoring of this function.
In view of this, the department has instructed that from April 01, 2022, the provisional attachment orders in DRC-22 and restoration orders in DRC-23 shall be only be issued on the BO system.
The aforesaid directions shall be scrupulously followed by all proper officers and supervisory officers as the case may be.
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