GSTAT Takes Shape with Operational Benches and Defined Matter Categories

India’s Goods & Services Tax Appellate Tribunal (GSTAT) has formally entered its institutional execution phase, with benches constituted across major cities and a structured framework for handling disputes now in place.

Operational benches have been set up in Delhi, Ahmedabad, Rajkot, Surat, Mumbai, Hyderabad, Bengaluru, and Chennai, marking the beginning of GSTAT’s procedural rollout.

Under the appeal routing framework, all matters filed before GSTAT will undergo initial scrutiny by a Division Bench. Where a question of law is involved, the case will proceed before the Division Bench in line with Section 109(8) of the CGST Act, 2017.

In contrast, disputes without a question of law and involving amounts below ₹50 lakh may be routed to a Single Bench under Section 109(9)(b), subject to approval by the President or Vice-President.

The Tribunal has categorized matters into three broad groups:

• Category I covers core tax liability and compliance disputes, including classification, valuation, input tax credit (ITC) issues, and demands under Sections 73 and 74.
• Category II addresses registration, recovery, and refund matters, ranging from cancellation of registration to recovery proceedings and refund claims.
• Category III encompasses consequential, penalty, and residual matters such as seizure and confiscation, penalties, rectification of orders, and compounding of offences.

Main disputes now structured within GSTAT include ITC blocking or denial, refund claims, registration disputes, seizure/confiscation proceedings, and tax liability determination. Practitioners note that the framework emphasizes litigation strategy at the scrutiny stage, judicial consistency across benches, and procedural efficiency.

Over time, consistent rulings by GSTAT are expected to strengthen compliance and encourage voluntary adherence to GST norms.

Support our journalism by subscribing to Taxscan premium. Follow us on Telegram for quick updates