Golden Traders And Others Vs Deputy Assistant Commissioner of State Tax And Others (Andhra Pradesh High Court)
The petitions concerned seizure and confiscation of goods in transit under Sections 129 and 130 of the Central Goods and Services Tax Act, 2017. Multiple petitioners filed interlocutory applications seeking release of goods and vehicles that had been detained by tax authorities on the allegation of gross undervaluation of goods.
In most cases, the documents required under Section 68 of the GST Act were available with the consignments, except in one case (W.P. No. 3258 of 2026). The primary issue before the Court, for the purpose of deciding the interlocutory applications, was whether officials at a check post could examine or determine the valuation of goods while the goods were in transit.
The Court noted that several High Courts had already addressed this issue. The High Court of Kerala, the High Court of Chhattisgarh, the High Court of Gujarat, and the High Court at Allahabad had held that the question of valuation cannot be undertaken in proceedings under Sections 129 or 130 of the GST Act. Earlier judgments of the erstwhile High Court of Andhra Pradesh under similar statutory provisions also held that issues relating to valuation and determination of tax liability must be referred to the assessing authority.
