This circular provides modifications and clarifications to the procedure prescribed in Circular No. 41/15/2018-GST dated 13 April 2018 relating to interception of conveyances, inspection of goods in movement, and detention, release or confiscation of goods and conveyances.

The circular clarifies that the time limit mentioned in the earlier circular for certain actions has been revised by replacing the term “three working days” with “three days” to avoid ambiguity. It also amends the wording of the release order in FORM GST MOV-05, clearly specifying the date and time of release of goods and conveyance.

Further, the circular addresses practical difficulties arising due to non-availability of electronic forms on the common portal. It clarifies that once physical verification of a conveyance has been conducted in one State or Union Territory, no further physical verification should be carried out elsewhere unless specific information of tax evasion becomes available. Until system integration is in place, hard copies of notices or orders issued by one tax authority may be produced before another tax authority as valid proof of initiation of action.

Importantly, the circular clarifies that detention or confiscation should be limited only to goods or consignments in respect of which violations are established. Where a conveyance carries multiple consignments and only some are non-compliant, action should be restricted to those consignments alone, and not applied indiscriminately to compliant goods. Trade notices are to be issued to ensure uniform implementation.