GST Liability on truck owners


*GST Liability on truck owners:*_
 *Ashok Kumar Bhatia vs State of UP, 2019-TIOL-679-HC
Crux of the case :
1) If ‘any person’ transports any goods or stores any goods while they are “in transit” in contravention of the provisions of the Act or Rules made thereunder,  all goods used as a means of transport for carrying the said goods and documents shall be liable to detention or seizure u/s129 of the GST Act, 2017.
2) It is immaterial that the person proceeded against is not a registered person or a supplier or a taxable person or is not doing any business. It is enough that he is a ‘transporter’ of goods and that the goods are being transported and have been seized in transit and if the charge is made out against the transporter, the respondents can proceed to seize such goods including the conveyance.
3) In the present case, a show cause notice has been issued to the petitioner where they contended that no business is being conducted in respect of sale or purchase of the goods as he is a mere transporter who is providing vehicles for transportation was rejected.
4) The writ petition was dismissed and the vehicle along with goods have been seized and an F.I.R. has also been lodged u/s 420, 463, 464, 468, 471, 34 and 120-B of I.P.C.
The petitioner is neither a registered person u/s 2 (94), nor a taxable person u/s 2(107) of the UPGST Act, 2017.
5) The truckers are back to the GST Officials. When a truck is hired, the truck owner is required to be sure that the goods he transports are not liable for seizure, for his truck may also get seized.