GST Appellate Tribunal (GSTAT) has constituted benches across the country and prescribed a uniform framework for categorisation and listing of appeals. Experts said this will provide taxpayers with a specialised forum for resolution of disputes, particularly in high-value Input Tax Credit (ITC) matter.
According to a set of office orders, the tribunal reiterated that matters involving tax liability or other issues below ₹50 lakh and not involving any question of law may be heard by a Single Bench upon approval of the President after scrutiny by them or concerned Vice-President. Further, it clarified that where a Single Bench subsequently finds involvement of a question of law, such matters may be referred back to the Division Bench after recording reasons and obtaining approval of the President or Vice-President.
The GSTAT President directed that all pending and future filings before Principal and State Benches will first be listed before a Division Bench, which alone will determine whether the matter does not involve any question of law before recommending Single Bench assignment.
“The constitution of GSTAT benches across the country is expected to significantly reduce the long-standing vacuum in GST appellate adjudication and provide taxpayers with a specialised forum for resolution of disputes, particularly in high-value ITC and Section 73 & 74 matters,” said Sivakumar Ramjee, Executive Director- Indirect Tax at Nangia Global. The decision to route all matters initially through Division Benches reflects GSTAT’s attempt to ensure consistency and judicial discipline during the early stages of tribunal functioning, especially on recurring interpretational issues under GST law, he added
According to Ikesh Nagpal, Lead- Indirect Tax at AKM Global, this order signals an attempt to bring greater institutional discipline and consistency to GST litigation. By requiring all matters to first undergo Division Bench scrutiny before being considered for Single Bench assignment, the Tribunal appears to be drawing a careful line between matters not involving questions of law and cases carrying wider legal implications.” he said.
The order classified disputes into three categories for hearing purposes as under. First category covers classification, valuation, notifications, ITC, taxability and proceedings under Sections 73 and 74 of CGST Act. Second category covers registration, cancellation, assessment, recovery, refund and provisional assessment matters. And the third category covers seizure, confiscation, rectification, provisional attachment, penalty, compounding and residual matters. The order also clarified that Category III matters shall ordinarily be heard by the Bench handling the principal dispute.
“The categorisation of disputes into substantive tax matters, procedural matters and consequential proceedings may help streamline case allocation and improve administrative efficiency, though practical issues may arise in determining whether a matter involves a question of law,” Ramjee said.
Nagpal felt that along with categorisation, nationwide bench-wise allocation of Judicial and Technical Members and the emphasis on virtual, hybrid and circuit hearings make the entire system a more practical and accessible system for taxpayers and practitioners.
“After years of uncertainty around GST appeals, this is perhaps the clearest indication yet that the Tribunal is focusing not just on disposal, but on building institutional consistency and credibility from the ground up,” Nagpal concluded.
Published on May 15, 2026