HC Directs Government to Complete GSTAT Selection Process in Four Months
By: Admin
Date: September 21, 2024
Categories: Important Pronouncements
Reading Time: 4 Min
The Kerala High Court, in the case of CA. P.J. Johney v. GST Council, New Delhi [W.P. (C) No. 12267 of 2024 dated July 9, 2024], directed the Government to complete the selection process for GST Appellate Tribunal (GSTAT) members within four months to initiate its operations. However, the Court denied the Assessee’s request to amend Section 169 of the Central Goods and Services Tax Act (CGST Act), making it mandatory for notices and orders to be served through at least three modes of service, citing that this issue pertains to individual cases and cannot be settled through a Public Interest Litigation (PIL).
Case Overview:
CA. P.J. Johney (“the Petitioner”) filed a PIL challenging the delay in establishing the GSTAT under Section 112 of the CGST Act and also sought an amendment to Section 169, requesting multiple modes of service for notices and orders to ensure proper communication. The Petitioner argued that GSTAT has not been established as mandated, affecting the right to appeal, and urged the Court to expedite the tribunal’s formation.
Court’s Decision:
The Kerala High Court denied the request to amend Section 169, clarifying that such issues are to be addressed through individual litigation, not PILs. However, it directed the Government to complete the selection process for appointing members to the GSTAT within four months, ensuring the tribunal’s operations can begin.
Our Comments:
Section 112 of the CGST Act covers the right to appeal to the GST Appellate Tribunal by individuals or the revenue department who are aggrieved by decisions of the appellate or revisional authority. Furthermore, Section 110 outlines the qualification and appointment process for GSTAT members. The Kerala High Court’s directive will likely accelerate the establishment of GSTAT, providing a much-needed forum for resolving disputes under the GST regime.
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