GST: No Section 129(3) Penalty without Prescribed Section 129(4) Hearing

Sangam Wires Vs State of Bihar (Patna High Court) Introduction: The Patna High Court, in the case of Sangam Wires Vs State of Bihar, ruled that no penalty under Section 129(3) of the Central Goods and Services Tax (CGST) Act could be imposed without providing a hearing as prescribed under Section 129(4) of the Act. This decision reaffirms the principles of natural justice and underlines the importance of providing a fair opportunity of hearing before imposing any penalties. Analysis: The court’s decision revolves around a vehicle intercepted for movement without a valid e-way bill, leadi...