Seizure of goods cannot be made when traveling to the destination through different routes

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Seizure of goods cannot be made when traveling to the destination through different routes

1. Traveling in a direction different from the normal route to the destination or
2. Goods declared are less than the Market value
is not a sufficient reason to draw an inference that the intention was to evade tax

Merely because the manufacturer sells his products to its customer or dealer at a price lower than the MRP, as such cannot be a ground on which the product or the vehicle could be seized or detained

It is a settled legal position that undervaluation of goods cannot be a ground for seizure of goods in transit by the inspecting authority

[Guj HC – Karnataka Traders vs State of Guj R/SCA 19549/2021]
The copy of the order is as under:
Seizure of goods cannot be made when traveling to the destination through different routes
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