158.            A conveyance carrying taxable goods worth Rs 10 lacs & exempt goods worth Rs 5 lacs was detained & seized  by the officer, pending the order of adjudication. Goods are chargeable to tax @ 18%. What shall be the amount payable in order to release goods & conveyance permanently:

(i)                 Owner agrees to pay tax on taxable goods = Rs. 8 lacs  & exempt goods of Rs. 4 lacs

(ii)               Owner furnishes security for taxable goods = 10 lacs & exempt goods = 5 lacs

(iii)             Owner furnishes security for taxable goods = 6 lacs & exempt goods = 4 lacs

(i)                  Amount payable on taxable goods agreed by owner:

tax= 18% (8lacs) = 144,000

penalty [section 129(a)] = 100% (tax) = 144,000

total = 288,000

amount payable on taxable goods not agreed by owner:

tax= 18% (2 lacs) = 36,000

penalty [section 129(b)] = 50% (value of goods – tax amount paid)

             = 50% (2,00,000 – 144,000)

             = Rs. 28,000

Total = 64,000

Amount payable on exempt goods agreed by owner:

Penalty [section 129(a)]= 2% (value of goods) or 25,000 (whichever is less)

             = 2% (4 lacs) or 25,000 (whichever is less)

             = 8,000

amount payable on exempt goods not agreed by owner:

Penalty [section 129(b)] = 5% (value of goods) or 25,000 (whichever is less)

             = 5% (1 lacs) or 25,000 (whichever is less)

             = 5,000

Total amount payable = 288,000 + 64,000 + 8,000 + 5,000 = Rs. 365,000

(ii)                Amount payable on taxable goods agreed by owner:

tax= 18% (10 lacs) = 180,000

penalty [section 129(a)]= 100% (tax) = 180,000

total = 360,000

Amount payable on exempt goods agreed by owner:

Penalty [section 129(a)]= 2% (value of goods) or 25,000 (whichever is less)

             = 2% (5 lacs) or 25,000 (whichever is less)

             = 10,000

Total amount payable= 360,000+ 10,000 = 370,000

(iii)               Amount payable on taxable goods agreed by owner:

tax= 18% (6lacs) = 108,000

penalty [section 129(a)]= 100% (tax) = 108,000

total = 216,000

amount payable on taxable goods not agreed by owner:

penalty [section 129(a)]= 50% (value of goods – tax amount paid)

             = 50% (4,00,000 – 108,000)

             = 146,000

Total = 218,000

Amount payable on exempt goods agreed by owner:

Penalty [section 129(a)]= 2% (value of goods) or 25,000 (whichever is less)

             = 2% (4 lacs) or 25,000 (whichever is less)

             = 8,000

amount payable on exempt goods not agreed by owner:

Penalty [section 129(a)]= 5% (value of goods) or 25,000 (whichever is less)

             = 5% (1 lacs) or 25,000 (whichever is less)

             = 5,000

Total amount payable = 216,000 + 218,000 + 8,000 + 5,000 = 447,000