Delhi HC Questions Delay in Making GST Appellate Tribunal Functional Despite Appointments

Rajesh Khanna Vs Commissioner of Central Tax Appeals I Delhi (Delhi High Court)

The Delhi High Court examined the issue of non-functioning of the Goods and Services Tax Appellate Tribunal (GSTAT), whose constitution is mandated under Section 109 of the CGST Act to hear appeals under Section 112. As the Tribunal had not been functional for a considerable period, the Court had earlier passed an order on 06 January 2026 seeking clarification. Pursuant to the Court’s directions, an affidavit sworn by a Deputy Secretary, Ministry of Finance, was filed outlining steps taken to operationalize the Delhi Bench of GSTAT.

The affidavit stated that online filing of appeals had been enabled, an earlier staggering order had been withdrawn, and hearings before the Principal Bench had commenced. The permanent premises at World Trade Centre, Nauroji Nagar, were under renovation, and a temporary setup had been established at Hotel Samrat, Chanakyapuri. Members were directed to join on 21 January 2026, and hearings were expected in virtual and/or physical mode. Staffing arrangements and IT infrastructure for virtual court functioning were also stated to be in place.

However, the petitioner contended that actual functioning had not commenced. The Court noted that the Tribunal had been constituted in July 2024 and members appointed in August and December 2025, and questioned the delay in making it operational. It directed filing of a fresh affidavit by an officer not below the rank of Joint Secretary, Department of Revenue, detailing timely effective steps to make the Tribunal fully functional, granting one week for compliance. The matter was listed for further hearing on 16 February 2026.