CBIC Mandates Clarity on 'Grounds of Arrest' for GST Offenders

The Central Board of Indirect Taxes and Customs (CBIC) has updated guidelines for GST-related arrests, requiring officers to clearly explain and document 'grounds of arrest.' This follows the Delhi High Court and Supreme Court rulings emphasizing the difference between 'reasons for arrest' and 'grounds of arrest.'

The Central Board of Indirect Taxes and Customs (CBIC) has introduced new instructions mandating GST officers to articulate and acknowledge the 'grounds of arrest' to offenders. This requirement comes as part of an updated guideline issued on Monday.

The updated guidelines necessitate that the grounds for arrest be not only verbally explained but also provided in writing as an annexure to the arrest memo. The guidelines stipulate officials must take a written acknowledgment from the arrested individual upon serving the memo.

This move aligns with the recent ruling by the Delhi High Court in the case of Kshitij Ghildiyal versus DGGI (Delhi), which underscores the Supreme Court's distinction between 'reasons for arrest' and 'grounds of arrest.' The Supreme Court clarified that while reasons are general, grounds are specific to the accused.

(With inputs from agencies.)