S129 CGST Act: Penalty Can't Be Imposed on Goods in Transit Accompanied by Tax Invoice, E-way Bill, Citing Subsequent Suspension of Registration: Allahabad HC

The Allahabad High Court ruled that penalties under Section 129 of the Central Goods and Services Tax (CGST) Act cannot be imposed on goods in transit accompanied by a valid tax invoice and e-way bill, even if the supplier's GST registration is subsequently suspended. The court emphasized that compliance with documentation requirements at the time of transit is sufficient to avoid penalties. This decision provides relief to businesses by clarifying that subsequent registration issues do not affect the validity of properly documented goods in transit. The ruling promotes legal certainty and ensures fair treatment of taxpayers.