JILANI SHAHNAVAZ MULLA Vs. STATE OF GUJARAT

JUDGEMENT

(1.) Mr. Uchit Sheth, learned advocate for the petitioner has invited the attention of the court to the provisions of section 130 of the Central Goods and Services Tax Act, 2017 and more particularly to the third proviso to sub-section (2) thereof, to submit that when any conveyance is used for the carriage of the goods or passengers for hire, the owner of the conveyance shall be given an option to pay in lieu of confiscation of the conveyance a fine equal to the tax payable on the goods being transported thereon. It was submitted that, therefore, even if an order of confiscation is passed under section 130 of the CGST Act, at best, the petitioner would be required to pay a fine equal to the tax payable on the goods being transported.

(2.) Ms. Maithili Mehta, learned Assistant Government Pleader has disputed the aforesaid position by inviting the attention of the court to the second proviso to sub-section (2) of section 130 as well as sub-section (3) of section 130 of the Act.

(3.) Having regard to the submissions advanced by the learned advocates for the respective parties, Issue Notice returnable on 10th October, 2019.