GST appeal of LIC rejected as ‘Wrong Jurisdiction’ Set Aside: Orissa HC Directs Transmission to Proper Authority [Read Order]
The court ordered that the case be transmitted to the appropriate appellate authority within fifteen days
The Orissa High Court has recently ruled in favor of the Life Insurance Corporationof India (LIC), setting aside a decision by tax authorities to reject a GST ( Goods and Services Tax ) appeal based on a "wrong jurisdiction" argument.
LIC challenged an order issued in May 2025 by the Commissioner (Appeals) in Bhubaneswar. The GST authorities had rejected LIC’s appeal under Section 107 ofthe GST Act because they claimed it had been filed in the incorrect office.
The issue itself covered multiple LIC offices across different locations, and for its operations in Odisha, LIC had approached the Bhubaneswar authority. However, when the appeal was filed, the appellate office dismissed the case entirely.
LIC contended that the authorities’ action was not with application of mind. Therefore it requested to set aside the order.
During the proceedings, the Department admitted that when the appeal was first rejected, they lacked a system to transfer "misplaced" appeals to the correct office.
However, they informed the Court that by July 2025, a new advisory from the Directorate General of Systems had introduced a formal mechanism allowing for the electronic transmission of appeals to the right jurisdiction.
The bench of Chief Justice Harish Tandon and Justice M.S. Raman observed that LIC should not be deprived of its right to appeal due to a procedural mistake or a lack of administrative coordination.
Without ruling on the actual tax merits of the case, the Court quashed the rejection order and directed that the appeal be restored. It further ordered that the case be transmitted to the appropriate appellate authority within fifteen days.
Support our journalism by subscribing to Taxscan premium. Follow us on Telegram for quick updates
