2024 (8) TMI 840 - HC - GST

Challenge to seizure order and SCN - address given in the invoice was not the registered place of business of the petitioner at the time of detention - Refund of the penalty that has been paid by the petitioner under protest for release of the goods - existence of mens rea or not - HELD THAT - In the present case, it is found that the revenue has not been able to indicate any mens rea for evasion of tax, and therefore, the very process of detention leading to the show cause notice and the imposition of penalty is without any basis in law and is liable to be quashed and set aside. In light of the same, the seizure and the show cause notice dated December 6, 2023 is quashed and set aside and the penalty imposed and collected by the revenue is directed to be refunded to the petitioner within a period of eight weeks from date. Petition disposed off.

Summary

The High Court quashed a seizure and show cause notice under Section 129 of the Uttar Pradesh Goods and Service Tax Act, 2017 due to lack of mens rea for tax evasion. The penalty imposed was ordered to be refunded to the petitioner within eight weeks. The writ petition was disposed of.