Can bank attachment U/s. 83 invoke without intimate to assessee for pending of GST returns

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This query is : Resolved

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This discussion explores whether a GST officer can attach a taxpayer's bank account under Section 83 of the GST Act solely for pending returns, without issuing a formal notice or intimation. The query questions the necessity of a hearing opportunity before such an attachment and whether it can be done without following prescribed procedures, especially when Section 83 allows provisional attachment to protect government revenue during ongoing proceedings.

Paresh Vasani

Paresh Vasani (Querist)
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15 March 2023 Hello Everyone,

I want to know that the GST officer can invoke the power of attachment of bank account under section 83 on the cause of GST returns pending only 2 months (i.e. December.22 & January.23) without notice or intimation?

kindly guide me

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
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15 March 2023 Notice or intimation is required.

Paresh Vasani

Paresh Vasani (Querist)
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15 March 2023 I think below mentioned steps to be taken by the official

1) GST System has auto-sending return default notice U/s. 46 after five days from the return due date (Taxpayer needs to file the pending return within 15 days from the receipt of such notice)

2) Thereafter, GST officials can proceed with self-assessment and issue order ASMT-13 with uploading summary report DRC-07 at the portal (Taxpayer needs to file pending returns within 30 days from receiving such order)

Meanwhile, section 83 stated that the official can start the attachment proceedings for the safeguard of interest of revenue, even before issuing ASMT-13.

Now, a query is that, notice u/s. 46 is a system mechanism that is uploaded by default, hence which kind of notice or intimation is required to issue before bank attachment u/s.83?

Secondly, shouldn't the officer give an opportunity of being heard before the attachment?

Third, has he the power to do so beyond the rules?

Thanks for your kind support.

Arun Kumar Singh

Arun Kumar Singh (Expert)
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27 March 2023 Where during the pendency of any proceedings under section 62 or section 63 or section 64 or section 67 or section 73 or section 74, the Commissioner is of the opinion that for the purpose of protecting the interest of the Government revenue, it is necessary so to do, he may, by order in writing attach provisionally any property, including bank account, belonging to the taxable person in such manner as may be prescribed.

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