GST UPDATE

???? Desk of CA. Praveen Sharma Series-554 ????

ALLAHABAD HIGH COURT IN THE CASE OF PP Poly Plast Pvt. Ltd UNDER SECTION Section 67 of the CGST Act, 2017

?Parties Heard : Shri Aditya Pandey represented the petitioner, and Shri Arvind Kumar Mishra represented the State-respondents.

Challenge: The petitioner challenged the orders dated 16.04.2024 and 08.10.2018.

?Petitioner's Argument : The petitioner, a manufacturer of PP bags, was inspected on 12.06.2018, with excess stock assessed by eye measurement. The petitioner argued that proceedings should have been under Sections 73/74 of the GST Act, not Section 130.

Respondent's Argument: The State-respondents supported the impugned orders.

?Court's Observations : Court rulings indicate that excess stock findings should lead to proceedings under Sections 73/74, not Section 130.

?Decision : The impugned orders dated 16.04.2024 and 08.10.2018 are quashed. Proceedings under Section 130 cannot be based on excess stock found during a survey.

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CA. Praveen Sharma

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