List the cases, in which transfer of property to be void specified under section 81 of the CGST Act, 2017.

CA Final · Indirect Tax Laws · MTP · May 2025
List the cases, in which transfer of property to be void specified under section 81 of the CGST Act, 2017.

Suggested Answer and Working Notes:

In accordance with section 81 of the CGST Act, 2017, where a person, after any amount has become due from him, creates a charge on or parts with the property belonging to him or in his possession by way of sale, mortgage, exchange, or any other mode of transfer whatsoever of any of his properties in favour of any other person with the intention of defrauding the Government revenue, such charge or transfer shall be void as against any claim in respect of any tax or any other sum payable by the said person. However, such charge or transfer shall not be void if it is made for adequate consideration, in good faith and without notice of the pendency of such proceedings under this Act or without notice of such tax or other sum payable by the said person, or with the previous permission of the proper officer.

Topics: Miscellaneous Provisions

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