Chapter XIX - Offences and penalties
Section 131
Section 131: Confiscation or penalty not to interfere with other punishments
A confiscation or civil penalty under GST does not itself prevent another punishment for which the person is legally liable.
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Need advice on Section 131?
This article is for general information. Refer to the Central Goods and Services Tax Act, 2017 official text for the official provisions. If you need professional advice for your situation, contact Bizeneed.
Statutory text
Bare law
Without prejudice to the provisions contained in the Code of Criminal Procedure, 1973 (2 of 1974), no confiscation made or penalty imposed under the provisions of this Act or the rules made thereunder shall prevent the infliction of any other punishment to which the person affected thereby is liable under the provisions of this Act or under any other law for the time being in force.
Key takeaways
Cumulative possibility
Section 131 preserves the possibility of other punishment under the CGST Act or another current law.
No automatic second liability
Whether another sanction applies must be established under its own legal provision and facts.
Criminal procedure
The saving operates without prejudice to the Code of Criminal Procedure provision referred to in the section.
Cumulative possibility
Section 131 preserves the possibility of other punishment under the CGST Act or another current law.
No automatic second liability
Whether another sanction applies must be established under its own legal provision and facts.
Criminal procedure
The saving operates without prejudice to the Code of Criminal Procedure provision referred to in the section.
Practical checklist
Do
- List each alleged legal basis separately.
- Identify whether a criminal allegation has been made.
- Review the independent elements of any second sanction.
Frequently asked questions
Does payment of a GST penalty always end prosecution exposure?
No. Section 131 says the penalty alone does not prevent another punishment where the person is liable.
Need help applying this provision to your situation?
Contact BizeneedLast updated 10 October 2026