sec. 129 of cgst act – OnlineTaxUpdate

GSTAT UP: GST Penalty Upheld for Transporting Excavator Without e-Way Bill: D.S. Traders v. State GST Department, UP

byAdmin01/09/202601/09/2026

The court upheld penalties on M/s D.S. Traders for transporting machinery without e-Way Bill, citing statutory requirements and lack of valid exemption evidence. The appellant argued the movement was for reuse, supported by delivery challans, and within 20 km exemption, but these claims were rejected. The order confirmed that procedural lapses with potential revenue impact justify penalties.

Judgment-Orders

Allahabad HC: Maruti Enterprises Vs State of U.P. and another – Section 129

byAdmin30/08/202630/08/2026

The Allahabad High Court judgment in the case of Maruti Enterprises vs. State of U.P. addresses whether the GST authorities of Uttar Pradesh have jurisdiction to detain goods and impose penalties on inter-state transactions when U.P. is merely a transit state.

Article GST Article

Transit-State GST officers lack jurisdiction to detain or confiscate goods in inter-State movement where the transaction neither originates nor terminates in that State

byAdmin23/05/202623/05/2026

The Hon’ble Andhra Pradesh High Court in the case of Golden Traders & Ors. held that State GST officers of a transit State cannot exercise powers under Sections 129 or 130 of the CGST/APGST Acts to intercept

Article GST Article

Payment of GST Penalty “Under Protest” for release of goods – Mandatory Requirement of Speaking Order under Section 129(3)

byCA Bimal Jain13/04/202613/04/2026

The Hon’ble Punjab and Haryana High Court in the case of M/s Deutsche Cars Pvt. Ltd. held that mere payment of penalty under protest does not conclude proceedings under Section 129(5) of the GST Act, and the Proper Officer is mandatorily required to pass a reasoned order after considering the reply of the assessee.

Article GST Article

GST DAILY – 489 : No tax evasion if old machine was transferred from head office to branch for its own use; penalty to be set aside: HC

byCA Pradeep Modi17/12/202517/12/2025

THE HON’BLE ALLAHABAD HIGH COURT IN THE CASE OF D and D Construction and Developers Company V/s Additional Commissioner

Article GST Article

GST DAILY – 432 : No penalty under Section 129 if tax on goods was paid despite incomplete e-way bill: HC

byCA Pradeep Modi22/11/202522/11/2025

THE HON’BLE DELHI HIGH COURT IN THE CASE OF

Article GST Article

GST DAILY – 430 : Demand to be set aside as it was made beyond 7 days from notice issued for detention of goods in transit: HC

byCA Pradeep Modi16/11/202516/11/2025

THE HON’BLE CUTTACK HIGH COURT IN THE CASE OF S.A. Sugandh Pvt. Ltd. V/s Chief Commissioner of CT & GST, decided on 12-12-2024.

Article GST Article

Writ is not maintainable in case of disputed facts for detention of goods

byCA Bimal Jain06/10/202506/10/2025

The Hon’ble Calcutta High Court in the case of Assam Supari Traders held that when a detention order under Section 129(3) of the CGST Act is passed amidst disputed facts, such as incongruities between driver’s statements, E-way bill details, and payment particulars, the writ petition is not maintainable and the taxpayer must pursue the statutory appellate remedy.

Article GST Article

Penalty quashed u/s 129 of CGST Act for solely relying on supplier’s statement

byCA Bimal Jain22/09/202522/09/2025

The Hon’ble Calcutta High Court in Sandip Kumar Pandey & Anr. quashed penalty imposed under Section 129(1)(b) of the CGST Act, holding that the Department erred in treating the supplier’s denial of business operations as “gospel truth” without conducting any verification and none of the situations signify necessary intention to evade tax, which is pre-condition for invoking of Section 129, CGST Act.

Article GST Article

GST DAILY – 368 : Goods to be released u/s 129(1)(a) if owner produces valid documents; order u/s 129(1)(b) quashed

byCA Pradeep Modi21/09/202521/09/2025

Goods to be released u/s 129(1)(a) if owner produces valid documents; order u/s 129(1)(b) quashed