seizer of imported goods and penalty by vat athorities CHENNAI

[Dharmnath Avhad]

My client has imported paper at chennai. He is not registered under T. N. vat act. He wanted to transport goods to maharashtra

but taken custody by VAT authrities and issued notice for 90000 rupees penalty. As goods are not so;d in tamilnadu, state has no authority to impose penalty or levy tax. Is there any collegue to defend my client. contact me cell. no  09870798622

[Surender Gupta]

If the goods are not being sold in Tamilnadu, for what purpose it was imported into the state. It is the facts and circumstances that may help to solve the issue. If  it is for storage purpose, whether compliance is made for the purpose of CST Act?

[YAGAY and SUN]

As we understood this matter that your client had imported 'Paper' (hereinafter referred as impugned goods) from outside India and got it cleared from the customs department.  Now, the importer intends to move these goods to Maharashtra.

On the strength of the Bill of Entry you can move these goods from Tamil Nadu to Maharashtra without being getting registration certificate under TNVAT Act.

Hope we are clear in our understanding.  You may also contact us on 9818131923 or [email protected] or [email protected]

Best Regards,

Pradeep Khatri

YAGAY & SUN (Indirect Tax Consultants)

AI Summary

Interstate movement of imported goods permits transfer without local VAT registration when supported by customs documentation.
Seizure and penalty question centers on whether local VAT registration is required when imported goods cleared from customs in one State are to be moved interstate. Factual purpose (storage, onward transport, or sale) and compliance under the CST framework are relevant. Movement on the basis of customs documentation, notably the Bill of Entry, permits interstate transfer and may obviate the need for local VAT registration, subject to demonstrating customs and CST-related compliances.