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CS Professional · Goods and Services Tax (GST) and Corporate Tax Planning · Inspection, Search, Seizure, Offences and Penalties

Goods are seized under section 67(2) of the CGST Act from Mehta Traders, Surat, on 1 March. No notice has been issued, and the proper officer has not extended the period. By which date must the goods be returned to Mehta Traders?

The goods must be returned by 1 September, because section 67(7) requires return if no notice is given within six months of seizure. An extension of up to six more months is possible only when the proper officer finds sufficient cause, and none was granted.

  1. ABy 30 March, being thirty days from seizure
  2. BBy 31 May, being three months from seizure
  3. CBy 1 September, being six months from seizureCorrect
  4. DBy 1 March of next year, being twelve months from seizure

Explanation

Section 67(7) requires seized goods to be returned if no notice is given within six months of seizure. Six months from 1 March ends on 1 September. The six-month period can be extended by the proper officer for up to six more months on sufficient cause, but no extension was made here. The thirty-day period applies to documents not relied upon, not to goods.

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