Provisional attachment under GST lapses after one year, requiring release of the bank account when no fresh order exists.

Provisional attachment of a bank account under the CGST Act ceases after one year from the date of the attachment order, and it cannot continue in the absence of a fresh order. On the admitted facts, the attachment order was issued on 27.01.2022 and no subsequent attachment order was shown. As the statutory one-year period had expired, the attachment had lost effect and the bank account was required to be released for operation.

---

---

Issues: Whether the provisional attachment of the petitioner's bank account under section 83 of the Central Goods and Services Tax Act, 2017 had ceased to have effect on expiry of one year, and whether the bank account was required to be released for operation.

Analysis: The attachment order was issued on 27.01.2022 and no fresh attachment order was shown to have been passed thereafter. Section 83(2) provides that a provisional attachment ceases to have effect after the expiry of one year from the date of the order. On the admitted facts, the statutory period had expired and the attachment could not continue.

Conclusion: The provisional attachment had ceased to have effect and the petitioner was entitled to operation of the bank account.

---