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Tax Publishers Hindustan Steel & Cement v. Asstt. STO, [W.P. (C) No. 17454 of 2022, dt. 18-7-2022] : 2022 TaxPub(GST) 1250 (Kerala-HC) Person opted to make payment under section 129(1) to get goods/conveyance released--Whether such person is deprived of his right to file appeal to the Appellate Authority *Facts:* In this case, an important issue arose for consideration as to whether a person who opts to make payment in terms of Clause (a) of sub-section (1) of section 129 of the Central Goods & Services Tax Act/State Goods & Services Tax Act (hereinafter referred to as the 'CGST/SGST Acts') to get goods/conveyance/documents detained or seized in proceedings under section 129 released is deprived of his right to file an appeal against the proceedings. The Revenue's stand was that on an assessee or a person who is the subject matter of proceedings under section 129 CGST/SGST Acts, opting to make payment of tax and penalty in terms of section 129(1)(a), the proceedings under section 129 come to an end. This is the effect of sub-section (5) of section 129. It was also submitted that on payment of the amount under section 129(1)(a), the entire proceedings should be treated as having concluded. It was also submitted that once payment is made under section 129(1)(a), there is no way in which a summary of order/demand can be generated in Form MOV-07. The High Court observed that whether or not a person opts to make payment under section 129(1)(a) or to provide security under section 129(1)(c), the responsibility of the officer to pass an order under sub-section (3) of section 129 and to upload a summary of the order/demand in Form MOV 7 continues. Hence, whether or not a payment is made under section 129(1)(a) or security is provided under section 129 (1) (c), the person who is the subject matter of proceedings under section 129 of the CGST Act has the right to challenge those proceedings, culminating in an order under sub-section (3) of section 129, before the duly constituted Appellate Authority under section 107 of that Act.

Tax Publishers

Hindustan Steel & Cement v. Asstt. STO, [W.P. (C) No. 17454 of 2022, dt. 18-7-2022] : 2022 TaxPub(GST) 1250 (Kerala-HC)

Person opted to make payment under section 129(1) to get goods/conveyance released--Whether such person is deprived of his right to file appeal to the Appellate Authority

Facts: In this case, an important issue arose for consideration as to whether a person who opts to make payment in terms of Clause (a) of sub-section (1) of section 129 of the Central Goods & Services Tax Act/State Goods & Services Tax Act (hereinafter referred to as the 'CGST/SGST Acts') to get goods/conveyance/documents detained or seized in proceedings under section 129 released is deprived of his right to file an appeal against the proceedings.

The Revenue's stand was that on an assessee or a person who is the subject matter of proceedings under section 129 CGST/SGST Acts, opting to make payment of tax and penalty in terms of section 129(1)(a), the proceedings under section 129 come to an end. This is the effect of sub-section (5) of section 129. It was also submitted that on payment of the amount under section 129(1)(a), the entire proceedings should be treated as having concluded. It was also submitted that once payment is made under section 129(1)(a), there is no way in which a summary of order/demand can be generated in Form MOV-07.

The High Court observed that whether or not a person opts to make payment under section 129(1)(a) or to provide security under section 129(1)(c), the responsibility of the officer to pass an order under sub-section (3) of section 129 and to upload a summary of the order/demand in Form MOV 7 continues.

Hence, whether or not a payment is made under section 129(1)(a) or security is provided under section 129 (1) (c), the person who is the subject matter of proceedings under section 129 of the CGST Act has the right to challenge those proceedings, culminating in an order under sub-section (3) of section 129, before the duly constituted Appellate Authority under section 107 of that Act.