The Jharkhand High Court has ruled that the Directorate General of Goods and Services Tax Intelligence (DGGI) does not enjoy any special power or privilege compared to the officers of the state GST authorities, if they are investigating the same taxpayer for the same offence. The court was hearing a petition, filed by Vivek Narsaria, proprietor of Ranchi-based Manish Trading Company, regarding an alleged tax evasion which was being probed by the DGGI, central GST officials and state GST officials, and even though the state GST authorities had concluded their probe, the DGGI froze seven bank accounts of the entity concerned. The court directed the DGGI and central GST officials to hand over the investigation proceedings carried out against the petitioner to state GST officers and to defreeze the bank account of the petitioner. “The officers of the DGGI do not enjoy any special power or privilege in comparison with the officers of the state GST authorities,” the court ruled. The ruling may have larger implications for cases where taxpayers are being investigated by both state and central GST authorities and the DGGI.

Source: Economic Times January 20, 2024 12:21 UTC