PROVISIONAL ATTACHMENT OF PROPERTY.

[Sadanand Bulbule]

Dear Sirs,

Section 83 of the GST Act, 2017 reads as under.

Provisional attachment to protect revenue in certain cases.

83. (1) Where during the pendency of any proceedings under section 62 or section 63 or section 64 or section 67 or section 73 or section 74, if the Commissioner is of the opinion that for the purpose of protecting the interest of the Government revenue, it is necessary so to do, he may, by order in writing attach provisionally any property, including bank account, belonging to the taxable person in such manner as may be prescribed.

(2) Every such provisional attachment shall cease to have effect after the expiry of a period of one year from the date of the order made under sub-section (1).

The question is whether the GST Commissioner, either under CGST or SGCT is authorized to delegate his powers under Section 83 to his subordinate proper officers to provisionally attach the property and Bank account? And what are the relevant provisions to do so?

Kindly enlighten.

With regards to experts & visitors of TMI.

AI Summary

Debate on GST Act Section 83: Delegation of Powers Raises Legal Concerns, Potential Challenges in Higher Courts A discussion on the provisional attachment of property under Section 83 of the GST Act, 2017, raised questions about the delegation of powers by the GST Commissioner to subordinate officers. A participant referenced a Gujarat High Court judgment, which opined that such delegation under the SGST Act cannot be defended. The discussion highlighted potential legal challenges and implications of this judgment, noting that while the judgment has not invalidated Section 83, it might be contested in higher courts. Participants emphasized that the department's actions align with the GST law, and legal processes are ongoing.