The power u/s 83 of the CGST Act, 2017 has been misused in this case because the pre-conditions which are prescribed therein viz. Pendency of proceedings under Sections 62, 63, 64, 67, 73 and 74 of the CGST Act, 2017 was not available to the Department.
Section 83 of the CGST Act, 2017—Provisional Attachment -- The petitioner challenged the order whereby respondent has only for name sake modified its order dated 16.7.2021 as per the judgment of this Court but in reality continued attachment of Cash Credit Account. The counsel for the petitioner submitted that the power under Section 83 of the Act, 2017 has been misused in this case because the pre-conditions which are prescribed therein viz. Pendency of proceedings under Sections 62, 63, 64, 67, 73 and 74 of the Act, 2017 was not available to the Department. The court observed that no notice has been issued to the petitioner under Section 74 or any other Section. In the circumstances, the conclusion is inescapable that the facts are covered by the judgment in the case of M/s Radha Krishan Industries.
Held that:-The Hon’ble High Court held that in view of the binding precedent of the Supreme Court of India, the petition is allowed and set aside order of provisional assessment.
The power u/s 83 of the CGST Act, 2017 has been misused in this case because the pre-conditions which are prescribed therein viz. Pendency of proceedings under Sections 62, 63, 64, 67, 73 and 74 of the CGST Act, 2017 was not available to the Department.
Section 83 of the CGST Act, 2017—Provisional Attachment -- The petitioner challenged the order whereby respondent has only for name sake modified its order dated 16.7.2021 as per the judgment of this Court but in reality continued attachment of Cash Credit Account. The counsel for the petitioner submitted that the power under Section 83 of the Act, 2017 has been misused in this case because the pre-conditions which are prescribed therein viz. Pendency of proceedings under Sections 62, 63, 64, 67, 73 and 74 of the Act, 2017 was not available to the Department. The court observed that no notice has been issued to the petitioner under Section 74 or any other Section. In the circumstances, the conclusion is inescapable that the facts are covered by the judgment in the case of M/s Radha Krishan Industries.
Held that:-The Hon’ble High Court held that in view of the binding precedent of the Supreme Court of India, the petition is allowed and set aside order of provisional assessment.