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Cus - Export of non-basmati rice - Notification 20/2023 insofar as it denies the benefit of the transitional arrangement as contained in para-1.05 of the FTP 2023, is bad in law: HCCus - Refund of SAD - 102/2007-Cus - Areca Nut and Supari are one and the same - Objections with regard to name, nature and status of importer or buyers or the end use of goods purchased by them etc. are extraneous: HCCX - Interest on Refund - Since wrong order annexed by petitioner in paper book, Bench is unable to proceed further - Petition is dismissed with liberty to file a fresh one: HCGST - No E-way bill - When petitioner imports machinery and after Customs clearance, transports same to his own factory, it cannot be said that such a transportation would fall within the definition of term 'supply' - Penalty imposable under second limb of s.129(1)(a): HCGST - Fix responsibility on officers who allowed BG to lapse - Petitioner not justified in not renewing BG - Cost of Rs.15 lacs imposed, to be paid to PM Cares Fund: HCGST - Since the parties agree that petition can be disposed of on the basis of records available before Appellate Authority, petitioner is directed to enclose all documents filed before Appellate Authority in a compilation, in form of a paper book: HCWrong RoadST - Whether any service is used for personal consumption or not is certainly question of fact and being question of fact, no substantial question of law arises: HCGovt proposes to amend Geographical Indication of Goods Rules; Draft issued for feedbackST - If what has been paid as tax is without authority of law, Revenue should refund the same - Denial of credit would result in the whole exercise being tax neutral: HCWarehousing Authority notifies several agri goods to be stored in only registered warehousesST - Even if the petitioner may have a case on merits, it is best left to be decided by the Appellate Authority under the hierarchy prescribed under the FA, 1994: HCUS FDA okays Eli Lilly Alzheimer’s drugGST - Petitioner challenges jurisdiction of assessing officer - Petitioner is entitled to file an appeal u/s 107 by availing an alternate efficacious remedy: HCFive from Telangana killed in car accident on Pune-Solapur HighwayGST - Existence of an alternative remedy is a material consideration but not a bar to the exercise of jurisdiction: HCHush money case against Donald Trump - Sentencing deferred to Sept 18GST - It is open to a trader to take goods by whichever route he opts, unless the law otherwise requires, destination point being intact: HCDeadly hurricane Beryl smashes properties in JamaicaGST - Conclusion that taxable person is providing a service to supplier while taking the benefit of a discount by facilitating an increase in the volume of sales of such supplier is ex facie erroneous and contrary to the fundamental tenets of GST law: HCIsrael claims 900 militants killed in Rafah since May monthGST - Order expressly records that personal hearing notice was returned with endorsement 'no such person at address' - Since petitioner has shifted to a new premises, it is just and necessary to provide an opportunity to contest demand: HC116 die in stampede at UP ’Satsang’I-T- Application for revision of order dismissed in limine on grounds of delay; case remanded for re-consideration: HCWe are deepening economic ties with India, says US officialI-T- As per Section 119(2)(b), power to condone applications relate to claims for amount exceeding Rs 50 lakhs are to be considered by CBDT; however it is impermissible for CBDT to pass order on merits: HC8 Dutch engineers build world’s longest bicycle - 180 feet, 11 inchesI-T- Additions framed u/s 68 for unexplained income & u/s 69 for unexplained expenditure not tenable where complete transactional details are furnished & not doubted: HCRailways earns Rs 14798 Crore from Freight loading in June monthI-T- Delay in filing ITR is per se insufficient reason to estimate assessee's profit @15% on turnover, more so where audited financial report is filed in timely manner: ITATMoD inks MoU to set up testing facilities in Unmanned Aerial System in TN Defence Industrial CorridorI-T- For invoking section 69A, assessee should be found to be owner of any money, bullion, jewellery or other valuable article & which is not recorded in the books of account: ITATGovt proposes Guidelines for ethical approach to Coal MiningI-T- TDS credit can be allowed based on AIS, where details pertaining to TDS, advance tax & other payments are reflected in Form 26AS: ITATVaishnaw to inaugurate Global IndiaAI Summit 2024I-T- Lending money with the primary intention of earning interest can be considered a business activity, but nature and manner of lending, as well as the frequency, should be taken into account: ITAT
 
Suspension of inter-state E-Way Bill on or after February 2, 2018 - a myth?

 

MAY 18, 2018

By Atul Gupta, Adv.

THE GST Council in its 24th Meeting held on 16th December, 2017 recommended implementation of Nationwide e-way bill system for inter-state movement of goods on compulsory basis w.e.f. 01.02.2018. It may be noted that CGST Rules initially comprised Rule 138, which empowered the Government (the Central Government as per section 2(53)) to specify the documents that the person in charge of a conveyance carrying any consignment of goods shall carry, while the goods are in movement or in transit storage. This authority was given to the Government till such time an e-way bill system is developed and approved by the GST Council. Subsequently, the Central Government issued the following Notifications upto 02.02.2018, which are relevant for present discussion:

a. Notification No. 27/2017-Central Tax dated 30.08.2017 proposed substitution of Rule 138 with a new Rule 138 from a future date [sub-para (2) and para 2].

b. Notification No. 74/2017-Central Tax dated 29.12.2017 gave effect to Notification No. 27/2017-Central Tax dated 30.08.2017 and the proposed new Rule 128 was notified to come into effect from 01.02.2018

c. Notification No. 3/2018-Central Tax dated 23.01.2018 which once again proposed substitution of Rule 138 w.e.f. 01.02.2018

d. Notification No. 11/2018-Central Tax dated 02.02.2018 which rescinded Notification No. 74/2017-Central Tax dated 29.12.2017

It appears from the above Notifications that the Government with effect from 01.02.2018 implemented two Rule(s) 138 [one by Notification No. 27/2017 read with Notification No. 74/2017 dated 29.12.2017 and another by Notification No. 3/2018 dated 23.01.2018 by substituting Rule 138]. However, as Notification No. 3/2018 dated 23.01.2018 was issued,when Notification No. 27/2017 read with Notification No. 74/2017 were still alive, therefore, it is axiomatic that Notification No. 3/2018 was only implemented. The legal effect of such substitution of Rule 138 was that Notification No. 27/2017 read with Notification No. 74/2017 never saw the light of the day.

Consequently, on 01.02.2018, Notification No. 3/2018 dated 23.01.2018 which substituted Rule 138 was in operation and the same made issuance of E way Bill mandatory.

However, the interesting part is that on 02.02.2018, the Government rescinded Notification No. 74/2017 dated 29.12.2017, which never came into force. Thus, the Notification No. 3/2018 dated 23.01.2018, which came into force from 01.02.2018 continued to be in force till it was substituted w.e.f. 01.04.2018 by new Rule 138 as envisaged by Notification No. 12/2018 dated 07.03.2018 made effective by Notification No. 15/2018 dated 23.03.2018.

It is also worth noting that the recommendations of the GST Council are mandatory in nature and as per the minutes of meeting publicly available, the GST Council never changed the date fixed as 01.02.2018 for implementation of e-way bill for nationwide inter-state supply.

From this examination, it seems it is only a myth created that the e-way bill system for Nationwide inter-state supply of goods was not in force up to 01.04.2018. Thus, the deferment of E way bill as advertised by the Government was not supported by any legal provision. Incidentally, it is not clear as to under which provision of the CGST Act did the Government defer the applicability of E-way bill from 01.02.2018 to 31.03.2018.

(The author is Joint Partner, Lakshmikumaran & Sridharan, Allahabad and the views expressed are strictly personal.)

(DISCLAIMER : The views expressed are strictly of the author and Taxindiaonline.com doesn't necessarily subscribe to the same. Taxindiaonline.com Pvt. Ltd. is not responsible or liable for any loss or damage caused to anyone due to any interpretation, error, omission in the articles being hosted on the site)

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