π¨ Exciting news! The Madras High Court has finally released a previously blocked bank account, as Section 83 stipulates a maximum block period of just one year. This decision exemplifies how justice strikes a harmonious balance between business and regulation. π
βThe petitioner's bank account was provisionally attached on 01.10.2021 as per the CGST Act, 2017 due to concerns about tax irregularities.
β The company is accused of irregularities related to providing manpower supply/bill trading and passing on ineligible Input Tax Credit.
β The director of the petitioner company had been arrested and later released on bail.
β Post these events, the petitioner deposited certain amounts and received a Show Cause Notice dated 06-Febr-2023.
β’ The petitioner's director deposited a sum of Rs. 50,00,000/- in total.
HELD:
β The provisional attachment of the petitioner's account, as per Section 83(2) of the CGST Act, is valid for a period of one year. As a result, there's no need to quash the attachment order.
β The petitioner is permitted to operate their bank account.
Title: SPDS HR Solutions Private Limited vs Principal Additional Director General of Goods and Service Tax Intelligence
Court: Madras High Court
Citation: W.P. No. 5682 of 2023
Dated: 20-Sep-2023
