Excess Stock GST Case: Allahabad HC Stays Coercive Action, Directs 10% Tax Deposit

Bindal Smelting Private Limited Vs Commissioner And 2 Others (Allahabad High Court) The Allahabad High Court has issued an interim order restraining coercive recovery proceedings against Bindal Smelting Private Limited, finding a prima facie case of wrongful invocation of GST provisions. The dispute arose after the petitioner’s business premises were surveyed on March 14, 2022, where excess stock was allegedly found. Based on this finding, the authorities initiated proceedings under Section 130 of the GST Act, which deals with confiscation of goods, instead of the appropriate Section 74,...