CHAPTER XIV – INSPECTION, SEARCH, SEIZURE AND ARREST
Section 67 – Power of Inspection, Search, and Seizure
- Authority: Proper officer (Joint Commissioner or above).
- Scope:
- Inspect businesses suspected of tax evasion.
- Seize goods or documents relevant to proceedings.
- Key Provisions:
- Right to break open premises/containers if access denied.
- Copies of seized documents allowed (unless harmful to investigation).
- Provisional release of goods possible with bond/security.
- Perishable/hazardous goods may be disposed of immediately.
- Legal alignment: Follows Code of Criminal Procedure, 1973 with modifications.
Section 68 – Inspection of Goods in Movement
- Requirement: Conveyances carrying goods above specified value must carry documents/devices.
- Authority: Proper officer may intercept and inspect documents and goods.
Section 69 – Power to Arrest
- When: Offences under Section 132 (serious tax frauds).
- Procedure:
- Inform grounds of arrest.
- Produce before Magistrate within 24 hours.
- Bail provisions aligned with CrPC.
Section 70 – Summoning Persons
- Proper officers can summon persons to give evidence or produce documents, similar to civil court powers.
Section 71 – Access to Business Premises
- Officers can access premises for audit, scrutiny, verification.
- Persons in charge must provide books, statements, audit reports, IT audit reports, cost audit reports within 15 working days.
Section 72 – Assistance by Other Officers
- Police, railways, customs, land revenue officers, state/UT tax officers must assist proper officers when called upon.
