E-way bill penalty under Uttar Pradesh GST held unsustainable for the relevant period, leading to quashing of the order.

Penalty for transporting goods without an e-way bill under the Uttar Pradesh GST regime was found unsustainable for the relevant period because earlier Division Bench rulings had already held that the e-way bill requirement under the then-applicable rules was not enforceable. On that settled position, the impugned penalty order could not stand, and the court directed that it be set aside with any deposited amount refunded in accordance with law.

---

---

Issues: Whether penalty imposed for transportation of goods without e-way bill during the relevant period under the Uttar Pradesh Goods and Services Tax regime was sustainable.

Analysis: The dispute was treated as covered by earlier Division Bench decisions holding that, for the period in question, the requirement of an e-way bill under the Uttar Pradesh Goods and Services Tax regime and the rules framed thereunder was not enforceable. In view of that settled position, the impugned penalty order could not be sustained. The challenged order was therefore liable to be set aside and the amount deposited, if any, was directed to be refunded in accordance with law.

Conclusion: The penalty order was quashed and the writ petition was allowed in favour of the assessee.

---