https://www.taxtmi.com/article/detailed?id=13137 Penalty under Section 130 of the CGST Act is not the appropriate mechanism for addressing excess stock found during a survey; instead, tax assessment proceedings under Sections 73 or 74 should be initiated. Clause (ii) of Section 130 applies to liability after the point of supply and Clause (iv) requires both contravention and intent to evade tax, neither of which is satisfied by mere discovery of excess stock without proper weighment or specific allegations of intent. Prior High Court authority supports that quantification of tax and penalty must proceed under assessment provisions, not by substituting Section 130. en-us Sat, 23 Nov 2024 14:00:41 +0530 Sat, 23 Nov 2024 14:00:41 +0530 TaxTMI RSS Generator https://www.taxtmi.com/article/detailed?id=13137 Penalty under Section 130 of the CGST Act is not the appropriate mechanism for addressing excess stock found during a survey; instead, tax assessment proceedings under Sections 73 or 74 should be initiated. Clause (ii) of Section 130 applies to liability after the point of supply and Clause (iv) requires both contravention and intent to evade tax, neither of which is satisfied by mere discovery of excess stock without proper weighment or specific allegations of intent. Prior High Court authority supports that quantification of tax and penalty must proceed under assessment provisions, not by substituting Section 130. Articles Goods and Services Tax - GST Sat, 23 Nov 2024 14:00:41 +0530 https://www.taxtmi.com/article/detailed?id=13137