Tamil Nadu shifts GST goods checks to intelligence-led squads

Tamil Nadu has replaced its GST “roving squads” with “flying squads” and directed them to intercept goods vehicles only on specific, electronically recorded intelligence and senior-level instructions, The Economic Times reported, citing an October 14 internal communication from the state’s commercial taxes department.

The directive follows the GST Council’s 57th meeting on October 8, which approved changes to e-way bill-based interception and verification intended to curb arbitrary checks and make goods movement across state borders easier. The state retains the power to intercept vehicles; the change sets conditions for exercising it.

Recorded intelligence and written approval

Under the communication, squads must remain stationed at the offices of joint commissioners responsible for intelligence. Before a vehicle is intercepted, the specific intelligence must be recorded electronically with a timestamp, and the joint commissioner must instruct the squad to act.

The requirement for intelligence inputs and written authorisation from senior officials creates a documented basis for an interception. An unnamed government official cited in the report said senior-officer approval could make the process more accountable.

State action precedes wider implementation

According to the report, Tamil Nadu is the first state to issue such a communication, ahead of detailed instructions from the Central Board of Indirect Taxes and Customs (CBIC) or other states.

Following the council meeting, Union finance minister Nirmala Sitharaman said its recommendation was to restrict inspection, detention or seizure of goods to officers of the supplier state or destination state, rather than permit checks in intervening states.

That recommendation and Tamil Nadu’s operational directive are distinct from completed amendments to GST legislation. The report said changes to the law and rules were expected in due course, while other states were preparing implementation instructions and the CBIC was working on a separate circular.