Seizure and Disposal of goods under GST
NO.CLE/HO/POL/CIRCULAR/2018
June 15, 2018
Members of the Council,
Sub : Seizure and Disposal of goods under GST
Dear Sir,
Section 67 of Central Goods and Services Act (CGST) provides for seizure of goods in respect of following situations.
Where the proper officer, not below the rank of Joint Commissioner, has reasons to believe that—
a) a taxable person has suppressed any transaction relating to supply of goods or services or both or the stock of goods in hand, or has claimed input tax credit in excess of his entitlement under this Act or has indulged in contravention of any of the provisions of this Act or the rules made thereunder to evade tax under this Act; or
b) any person engaged in the business of transporting goods or an owner or operator of a warehouse or a godown or any other place is keeping goods which have escaped payment of tax or has kept his accounts or goods in such a manner as is likely to cause evasion of tax payable under this Act.
Extract of Section 67 of CGST Act is enclosed herewith.
The Central Board of Indirect Taxes and Customs has now issued a CGST Notification No.27/2018-Central Tax dated 13th June 2018 notifying the list of seized goods which can be disposed by proper officer concerned after seizure considering the perishable or hazardous nature of the goods. Raw (wet and salted) hides and skins also included in the list of such notified products which can be disposed by proper officer concerned after seizure, in the said CGST Notification No.27/2018. Members may kindly note the above.
Thanks & Regards,
R. Selvam IAS
Executive Director
COUNCIL FOR LEATHER EXPORTS