FORM GST MOV-10 - Specific confiscation notice on unaccounted goods

Worked facts and completed entries

Independent confiscation Branch B: a different 1 September 2026 movement carries 500 unaccounted taxable goods, value 100000, given CGST 9%+SGST 9% tax basis 18000 and assumed market value 118000 inclusive of that tax. Stock-ledger absence, internal packing instructions and an 8 September owner statement establish unaccounted goods under 130(1)(ii), independently of any 129 non-payment. MOV-10 served 10 September proposes goods confiscation and tests conveyance liability. Owner replies 17 September; hearing 21 September. Transporter supplies evidence that its owner/agent/driver had no knowledge or connivance in the concealed/unaccounted supply, relying on apparently regular supplied documents. Order1 October accepts that conveyance defence but confirms the goods ground.

Notice1–3. Interception, person and actual prior process

4–5. Specific grounds and selected branch

The 500 goods do not appear in the owner’s stock ledger; internal packing instructions and the 8 September owner statement identify deliberately unaccounted taxable stock. Those records are disclosed with this notice and support 130(1)(ii). The historical bare presumption “no documents therefore evasion” and automatic confiscation-after-non-payment paragraphs are not used. The conveyance’s130(1)(v) liability is separately put to its owner, who may establish the statutory no-knowledge/connivance defence. If liable and carried for hire, its fine option would equal 18000 tax basis; no final conveyance finding is prejudged.

6(1) /7(1). Goods and underlying tax basis

Underlying tax computation; no standalone 130 tax demand

6(2) /7(2). Penalty under 130(1) read with 122, INR

6(3) /7(3). Fine option for goods, INR

6(4) /7(4). Conveyance fine option, INR

7–9. Reply and hearing

Reply by 17 September 2026, seven days after service, and attend hearing 21 September at 11:00, Illustration Bengaluru Central Tax Office. Explain the unaccounted-stock evidence and the conveyance knowledge/connivance issue separately. No order will be made without the section 130(4) opportunity. In actual non-response, the decision must still be based on evidence and merits; this scenario does not allege non-response.

Execution and service

How this form moves the matter forward

1. Identify whether this is inspection, detention, release, security or separate confiscation.
2. Record the actual documents, goods/vehicle particulars and statutory ground; check minor-error exclusions before imposing detention.
3. Reconcile service, reply/hearing, amounts and release/recovery steps against current law rather than copying obsolete circular wording.

Evidence supporting these entries

• Actual movement, lorry receipt, invoice/e-way-bill evidence and verification report
• Actual service dates, response/hearing record and reasoned statutory ground
• Reconciled tax-basis/penalty/security/payment entries for the selected branch

Period and legal consequences

Section 130 requires its own actual ground and hearing; it is not an automatic penalty for missing a129 payment deadline. Section 130(3)’s former additional-tax clause was omitted from 1 January 2022. Ordinary supply tax remains governed by its own liability/procedure and is not imposed a second time by this model. The current goods-fine ceiling is market value less tax and the minimum aggregate fine+penalty is 100% of tax, not current 129’s200% penalty figure.

Primary source and exact locator

Official notified form source: Circular 41/15/2018 actual FORM GST MOV-10, PDF pages 24–27; later Act/rule qualifications expressly applied.

CGST Act and government-hosted Act and Rules compilation - Section 130(1)(ii)/(v),(2)/(4); section 122. Source and example revision: 21 October 2026.

Questions answered by this example