Page 4 - Chap20 Inspection, Search & Seizure

01. Section 67:- Power of Inspection, Search and Seizure

Inspection of Goods:-
CCP.20.01.01.00
Who can order for carrying out “inspection” and under what circumstances? [Study Mat]
Answer :-
Ü As per section 67 of CGST Act, inspection can be carried out by a proper officer only upon a written

authorization given by an officer of the rank of Joint Commissioner or above.
Ü A Joint Commissioner or an officer higher in rank can give such authorization only if he has reasons to
believe that:-
(a) The taxable person has done one of the following:-

(i) Suppressed any transaction of supply of goods or services or both,
(ii) Suppressed stock of goods in hand,
(iii) Claimed excess input tax credit, or
(iv) Contravened any provision of the CGST Act to evade tax.
(b) A transporter or an owner/ operator of a warehouse/ godown/ any other place has kept goods which have

escaped payment of tax or has kept his accounts or goods in a manner that is likely to cause evasion of tax.

Search & Seizure:-

CCP.20.01.02.00
Who can order for search and seizure under the provisions of CGST Act? [Study Mat]
Answer :-
Ü An officer of the rank of Joint Commissioner or above can authorize an officer in writing to carry

out search and seize goods, documents, books or things.
Ü Such authorization can be given only where the Joint Commissioner/an officer above his rank has
reasons to believe that any goods liable to confiscation or any documents or books or things relevant
for any proceedings are hidden in any place.

Ü The Joint Commissioner/an officer above his rank can himself search and seize such goods,
documents or books or things.

CCP.20.01.03.00
Describe the powers that can be exercised by an officer during a valid search. [Study Mat]
Also state the time limit till when the seized documents/books/things can be retained?
Answer:-

Ü An officer carrying out a search has the power to search for and seize goods (which are liable to
confiscation) and documents, books or things (relevant for any proceedings under the CGST Act) from
the premises searched.
Ü If it is not practicable to seize any such goods then the same may be detained.
Ü The person from whom these are seized shall be entitled to take copies/extracts of seized records.

Ü During search, the officer has the power to break open the door of the premises authorized to be
searched if access to the same is denied.
Ü Similarly, while carrying out search within the premises, he can break open any almirah or box if
access to such almirah or box is denied and in which any goods, account, registers or documents are

suspected to be concealed.
Ü He can also seal the premises if access to it denied.

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