As per J&K VAT Rule 67(12) Inspection under sub-section (3) and (6) of Section 66
If the Empowered authority or any officer authorized by the Commissioner as the case may be under sub-section (6) of section 66 finds any goods, the sale of which, is liable to tax and which are found in any office, shop, godown, warehouse vehicle or in any other place of business or in any building or place of the dealer but not accounted for by the dealer in his accounts, registers or other documents maintained in the course of his business he may seize such goods and prepare a list of all such goods seized under this sub-rule and get it signed by two respectable witnesses.
Provided the goods so seized shall be kept under official custody or handed over to any person for the safe custody till orders for their release are issued by the Empowered Authority or the Authorized Officer as the case may be. The goods shall be handed over to such person after obtaining declaration on Form VAT-55 in presence of two respectable witnesses who shall sign such declaration form.
As per J&K VAT Rule 71(a)(b) Detention and seizure of goods
(a) The Additional Commissioner(SIU) or the authorized officer both of whom are here in after referred to as “the officer” seizing the goods under sub-section (5) of section 67, shall prepare an inventory of the goods seized and copy of the inventory shall be handed over to the person Incharge of the goods against a proper receipt. The goods seized
may be kept in official custody or handed over to any person for safe custody against declaration Form VAT-55.
(b) In case the goods are seized under sub-section (5) of section 67of in any godown or any other premises of the transport, clearing or forwarding agency or in any vehicle or conveyance or any other place, the goods shall be kept in the official custody or handed over to the person Incharge of the godown or any other premises of the transport, clearing or forwarding agency or any other person against declaration in Form VAT-55.