Interim Budget 2024 introduces GST penalty for Tobacco industry:

In this Interim Budget 2024 presented by Finance Miinister, GST penalty for Tobacco industry introduced.

GST penalty for Tobacco industry

CA Pratibha Goyal

Feb 1, 2024

Last update on Feb 1, 2024

Interim Budget 2024 introduces GST penalty for Tobacco industry After Section 122 of the Central Goods and Services Tax Act, section 122A shall be inserted, namely: 122A. (1) Notwithstanding anything contained in this Act, where any person, who is engaged in the manufacture of goods in respect of which any special procedure relating to registration of machines has been notified under section 148, acts in contravention of the said special procedure, he shall, in addition to any penalty that is paid or is payable by him under Chapter XV or any other provisions of this Chapter, be liable to pay a penalty equal to an amount of one lakh rupees for every machine not so registered. (2) In addition to the penalty under sub-section (1), every machine not so registered shall be liable for seizure and confiscation: Provided that such machine shall not be confiscated where–– (a) the penalty so imposed is paid, and (b) the registration of such machine is made in accordance with the special procedure within three days of the receipt of communication of the order of penalty New section 122A has been introduced for applicability of Penalty for failure to register certain machines used in the manufacture of goods as per special procedure (Tobacco Industry).

About Author

CA Pratibha Goyal

Co Founder

CA Pratibha Goyal is Chartered Accountant qualified in 2016, is a Member of The Institute of Chartered Accountants of India having wide experience in the field of Auditing, Taxation, ROC, GST and Secretarial matters etc. She has written over a thousand articles & has made several videos on topics related to Auditing & Taxation. As a Speaker she has delivered various sessions on various branches of NIRC of ICAI.