Release of detained goods on tax payment under the Tamil Nadu VAT framework, while composition notices could still proceed.

Detained goods in transit were directed to be released on payment of the tax demanded in the impugned notices under Section 67(4) of the Tamil Nadu Value Added Tax Act, 2006. The statutory framework treated payment of the demanded tax as the basis for release, and the pending composition notices did not bar such release. The respondent was left free to proceed further under the composition notices, while the petitioner retained liberty to contest those notices on merits.

---

---

Issues: Whether the detained goods were liable to be released on payment of the tax demanded in the impugned notices under Section 67(4) of the Tamil Nadu Value Added Tax Act, 2006.

Analysis: The dispute arose from detention of goods in transit on the basis of the impugned notices. The statutory framework relied upon contemplated release of the detained goods once the tax demanded was paid. The pending composition notices did not prevent the Court from issuing directions for release of the goods, while preserving the respondent's liberty to proceed further in accordance with law.

Conclusion: The detained goods were directed to be released on payment of the tax as demanded in the impugned notices, and the respondent was left free to proceed with the composition notices, with liberty to the petitioner to contest them on merits.

---