Hyderabad: The High Court has directed the TS and AP governments to release vehicles and along with goods seized by the commercial tax department on the ground that the goods were not accompanied by an e-way bill generated by the recipient trader in either state. The order was given by a division bench comprising Justice C.V. Nagarjuna Reddy and Justice T. Amarnath Goud while dealing with a batch of petitions filed by traders of both states.
The bench issued certain directions to be followed till Rule 138 of the CGST Rules is notified. The bench directed that the goods along with the vehicles belonging to the petitioners shall be released on their executing a bond to the effect that in the event of determination of tax liability, they will pay the tax along with penalty, if any.
The bench directed that both state governments shall prepare a proforma bond to be executed by the custodian of the goods at the time of their interception in either state to the effect that in the event of determination of tax liability they will pay the tax and penalty, if any.
