Think Differently: Cross empowerment of SGST/ UT officers under section 6 (1) of CGST ACT 2017
After implementation of GST since 2017, Jurisdiction was allotted to each registered person either CENTRAL GST, STATE GST OR UT GST. There has been disputed emerged of overlapping of Jurisdiction and controversies over section 6 of the CGST Act 2017 which authorizes officer of state tax and union territory also
Section 6 Of CGST:
Authorization of officers of State tax or Union territory tax as proper officer in certain circumstances. –
(1) Without prejudice to the provisions of this Act, the officers appointed under the State Goods and Services Tax Act or the Union Territory Goods and Services Tax Act are authorized to be the proper officers for the purposes of this Act, subject to such conditions as the Government shall, on the recommendations of the Council, by notification, specify.
(2) Subject to the conditions specified in the notification issued under sub-section (1),
The issue has been further discussed in the matter of R. K. ISPAT Limited by High Court of Jammu & Kashmir by Double Bench vide order dated 30.09.2025 and through light on the cross empowerment of the state / UT officers under section 6 (1) of CGST ACT, 2o17 and held to be authorized officer under the CGST Act,2017 without prejudice to other provision of the act.
It has also held that the expression “subject to such conditions as government may, on recommendation of council, by notification, specify “means that the government intend to impose condition on cross empowerment, it can do so only by issuing a notification specifying such conditions on recommendation of GST council.
It means that this power can be effected through the issuance of a notification by central government. But in absence of any notification the power under section 6 (1) is inheritance. A notification is required in case any condition is to be imposed not otherwise. The cross empowerment under section 6 (1) is automatic and result of legislative mandate.
This means state / UT officers has power to summon and proceed further in the matter in case of any information and forming reason to believe that there is an evasion of tax. But this will be further to guideline issued in the matter by Hon’ble Supreme Court in the matter of Armour Security India Limited vide order dated 14.08.2025 which stipulates a guideline for the tax payers as well as to both CGST/ SGST authorities.
A)The assessee is obliged to respond to state/ UT authorities properly in the
B) The assessee is duty bound to inform in case parallel enquiry is already initiated by CGST department,
c) Both respective departments to communicate each other to verify the claim.
d) In case of overlapping , the authority who initiated enquiry first will take over the matter and other to support with information has in hand.
f) In case authorities are not complying the guideline issued in that case then can challenge the same in their jurisdictional High Court under article 226
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S.K.Periwal | Director | Tax Corner India LLP 9119337201
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