Provisional attachment under GST expires after one year unless renewed by a fresh order, allowing bank account operation.

A provisional attachment of a bank account under Section 83 of the CGST Act ceases after one year from the attachment order unless a fresh attachment order is issued. Here, the original attachment was dated 27.01.2022 and no subsequent order was made, so the embargo could not continue on the basis of the expired order. The bank account was therefore directed to be allowed to operate.

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Issues: Whether the provisional attachment of the petitioner's bank account under Section 83 of the Central Goods and Services Tax Act, 2017 ceased to have effect after one year in the absence of any fresh attachment order.

Analysis: The attachment was issued on 27.01.2022. The petitioner relied on Section 83(2), which limits the life of a provisional attachment to one year from the date of the order. The respondent conceded that the original attachment order was passed on 27.01.2022 and that no fresh attachment order had been issued thereafter.

Conclusion: The provisional attachment had ceased to have effect, and the bank account could not continue to remain under embargo on the basis of the expired order.

Final Conclusion: The petition was allowed and the respondent bank was directed to permit operation of the petitioner's bank account.

Ratio Decidendi: A provisional attachment under Section 83 of the Central Goods and Services Tax Act, 2017 cannot continue beyond the statutory period of one year unless a fresh attachment order is issued.

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