On September 14, 2023, the Ministry of Finance, Department of Revenue, issued a significant notification that impacts the administration of the Central Goods and Services Tax Act, 2017. In this blog post, we will delve into the details of this notification and its implications for the taxation landscape in India.
Background
The Central Goods and Services Tax Act, 2017 (GST Act), brought about a significant overhaul of India’s taxation system. It introduced the Goods and Services Tax (GST), a unified tax structure aimed at simplifying the tax regime by replacing multiple indirect taxes. One of the essential aspects of the GST Act is the establishment of the Goods and Services Tax Appellate Tribunal (GSTAT) to handle appeals related to GST matters.
Notification Overview
The notification issued on September 14, 2023, marked a crucial development in the GSTAT’s structure. It superseded two earlier notifications from 2019 and laid out the constitution of State Benches of GSTAT across various states and union territories in India. Let’s break down the key points from this notification:
- Source of Authority: The notification draws its power from sub-section 4 of section 109 of the GST Act.
- Supersession: It supersedes two previous notifications from 2019, indicating a significant change or update in the constitution of GSTAT benches.
- Constitution of State Benches: The Central Government, based on the recommendations of the Goods and Services Tax Council, has established State Benches of GSTAT for different states and union territories. Each bench is assigned a specific number, and their locations are specified in the notification.
- Number of Benches: The table in the notification details the number of GSTAT benches allocated to each state or union territory. This distribution ensures efficient resolution of GST-related appeals.
- Operational Circuit Locations: Some locations in the table are marked as ‘Circuit.’ These locations will become operational based on the number of appeals filed by suppliers in the respective states. The activation of these circuit locations will be ordered by the President as needed.
TABLE | |||
S.No | State Name | No of Branches | Location |
1. | Andhra Pradesh | 2. | 1.Vishakhapatnam 2.Vijayawada |
2. | Bihar | 1. | 1.Patna |
3. | Chhattisgarh | 2. | 1.Raipur 2. Bilaspur |
4. | Delhi | 1. | 1. Delhi |
5. | Gujarat | 2.
| 1. Ahmedabad 2. Surat and Rajkot |
6 | Dadra and Nagar Haveli and Daman and Diu | ||
7. | Haryana | 1 | 1.Gurugram and Hissar |
8. | Himachal Pradesh | 1 | 1.Shimla |
9. | Jammu and Kahmir | 1 | 1.Jammu and Srinagar |
10. | Ladakh | ||
11 | Jharkhand | 1 | Ranchi |
12. | Karnataka | 2 | Bangalore |
13. | Kerala | 2 | 1.Ernakulam 2. Trivandrum |
14. | Lakshadweep | ||
15. | Madhya Pradesh | 1 | 1.Bhopal |
16. | Goa | 3 | Mumbai, Pune, Thane, Nagapur, Aurangabad and Panaji. |
17. | Maharashtra | ||
18. | Odisha | 1 | Cuttack |
19. | Punjab | 1 | Chandigrah and Jalandhar |
20. | Chandigarh | ||
21. | Rajasthan | 2 | Jaipur and Jodhpur |
22. | Tamil Nadu | 2 | Chennai, Madurai, Coimbatore and Puduchery |
23. | Puducherry | ||
24. | Telangana | 1 | Hydrabad |
25. | Uttar Pradesh | 3 | Lucknow,Varanasi, Ghaziabad,Agra and Prayagraj |
26. | Uttarakhand | Dehradum | |
27. | Andaman and Nicobar Islands | 2 | Kolkata |
28. | Sikkim | ||
29. | West Bengal | ||
30. | Arunachal Pradesh | 1 | Guwahati Aizawl(Circuit ) Agartala(Circuit ) Kohima (Circuit |
31. | Assam | ||
32. | Manipur | ||
33. | Meghalaya | ||
34. | Mizoram | ||
35. | Nagaland | ||
36. | Tripura | ||
6. Effective Date: The State Benches of GSTAT are effective from the date of publication of this notification, which is September 14, 2023.
Implications
The constitution of State Benches of GSTAT is a crucial step in ensuring a streamlined and efficient resolution of GST-related disputes and appeals. This move aligns with the broader goal of simplifying and rationalizing India’s tax system.
Conclusion
The Ministry of Finance’s notification dated September 14, 2023, regarding the constitution of State Benches of GSTAT, signifies a pivotal moment in India’s taxation landscape. It reinforces the government’s commitment to providing an accessible and efficient platform for resolving GST-related matters, ultimately benefiting taxpayers and promoting ease of doing business in the country.