Goods cannot be detained for non-generation of e-invoice if there was no intention to evade tax payment: Allahabad HC
Assessee’s goods in transit were detained on the ground that E-Tax Invoice was not generated as per Rule 48 of the Goods and Services Tax Rules, 2017.
Assessee further submits all documents that as per Rule 138A of the Rules as there is no provision for carrying E Tax Invoice, hence it was not correct on the part of the authorities to seize the goods and pass the impugned orders against the petitioner.
The error committed by the petitioner for not generating E-Tax Invoice before movement of goods was deemed a technical and human error.
It is also not in dispute that prior to 1st August, 2022 the dealers who were having annual turn over of more than Rs. 20 crores was required to issue E Waybill. The said limit has now been reduced with effect from 1st August, 2022 to Rs. 10 crores, hence there was bona fide mistake on the part of the petitioner for not generating E Tax Invoice.
In view of the above, in absence of any intent to evade tax, the proceeding under section 129(3) of the Act cannot be initiated. The impugned order were set aside. The writ petition is allowed.
From,
Krishnkant Jakhotia
Mobile No. :- 9422507911
Email Id :- taxtalknew@gmail.com
