State Tax Officer does not have jurisdiction to issue notice for ‘Provisional attachment’ under Section 83 of MGST Act

[CA Bimal Jain]

The Hon’ble Bombay High Court in SAKET AGARWAL VERSUS UNION OF INDIA - 2023 (9) TMI 558 - BOMBAY HIGH COURT held that, the State Tax Officer does not have any jurisdiction to issue notice/communication under Section 83 of the Maharashtra State Goods and Services Tax Act, 2017 (“the MGST Act”).

Facts:

Saket Agarwal (“the Petitioner”) was aggrieved by the notice/communication dated April 21, 2023 (“the Impugned Communication”) as issued by the State Tax Officer by exercising power under Section 83 of the MGST Act to Officer-In-Charge of the Central Depository Services (India) Ltd.

The Petitioner filed writ before the Hon’ble Bombay High Court to quash the Impugned Communication.

Issue:

Whether the State Tax Officer can issue notice of ‘provisional attachment’ under Section 83 of the MGST Act?

Held:

The Hon’ble Bombay High Court in SAKET AGARWAL VERSUS UNION OF INDIA - 2023 (9) TMI 558 - BOMBAY HIGH COURTheld as under:

• Held that, the State Tax Officer does not have any jurisdiction to issue such communication under Section 83 of the MGST Act.
• Stated that, since the Impugned communication itself is being withdrawn, the Petitioner may send an intimation of withdrawal of such communication be immediately to the Officer-In-Charge of the Central Depository Services (India) Ltd.

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