Confiscation and Penalty Rules Under Section 130 of CGST Act 2017: Goods, Conveyances, and Redemption Fines Explained.

Section 130 of the CGST Act, 2017 addresses the confiscation of goods and conveyances and the imposition of penalties for violations. It applies when goods are supplied or received in contravention of the Act, unaccounted goods, unregistered taxable supplies, or misuse of conveyances. Confiscated goods can be redeemed by paying a fine not exceeding their market value minus tax. The owner of a conveyance used for transport can pay a fine equal to the tax on the goods instead of confiscation. Confiscation orders require a hearing opportunity, and confiscated items vest in the government. The Deputy or Assistant Commissioner oversees these processes.