GST Appeal Remedy Restored as Tribunal Is Now Functional: Allahabad HC

M.M. Traders Vs State of U.P. And 2 Others (Allahabad High Court)

The Allahabad High Court disposed of the writ petition after observing that the circumstances which had justified entertaining the petition no longer existed following the constitution of the GST Appellate Tribunal under Section 112 of the GST Act. The writ petition had initially been entertained because the GST Appellate Tribunal had not been constituted, thereby depriving the petitioner of the statutory appellate remedy against orders passed under Sections 107 or 108 of the GST Act.

The Court noted that the Central Government had constituted the GST Appellate Tribunal through an order dated September 24, 2025. Further, Members of the Tribunal had been appointed through Office Order No. 03/2025 dated December 26, 2025, with directions to assume charge at their respective Benches by January 21, 2026. The Court also took note of the notification dated April 24, 2025, issued under Section 111 of the GST Act, whereby rules regulating the procedure and functioning of the GST Appellate Tribunal had been framed. According to the Court, the notification of procedural rules and appointment of the President and Members indicated that the functioning of the Tribunal had been set in motion, rendering continuation of the writ proceedings unnecessary.

Without examining the legality or validity of the impugned orders, the Court disposed of the writ petition and permitted the petitioner to file an appeal before the GST Appellate Tribunal under Section 112 of the GST Act and the relevant Central Government notification up to June 30, 2026. The Court directed that any appeal filed within this period should be entertained without any objection regarding limitation.

The Court further observed that, during the pendency of the writ petition, the petitioner had been directed to deposit certain amounts in addition to the amount deposited under Section 107(6) of the GST Act. It directed that any such deposit already made would be treated as compliance with the pre-deposit requirement prescribed under Section 112(8) of the CGST Act, subject to submission of a certified copy of the interim order along with proof of deposit.

Additionally, the Registrar of the GST Appellate Tribunal or the officer responsible for verification of appeals was directed to notify the petitioner of any defects within three weeks of filing the appeal. The petitioner was granted 30 days from such intimation to remove the defects. The Court clarified that the appeal would ultimately be decided on its own merits in accordance with law.

FULL TEXT OF THE JUDGMENT/ORDER OF ALLAHABAD HIGH COURT

1. Heard learned counsel for the parties.

2. The instant writ petition was entertained by this Court as GST Appellate Tribunal under section 112 of the GST Act was not constituted for preferring appeal against the orders passed under sections 107 or 108 of the GST Act.

3. Now, the Central Government, vide order dated 24.09.2025, has constituted the GST Appellate Tribunal and its Members have been appointed vide Office Order No. 03/2025 dated 26.12.2025 with a request to join their respective Benches by 21.01.2026.

4. The Central Government, in exercise of powers conferred under section 111 of the GST Act, issued notification dated 24.04.2025 making rules for regulating the procedure and functioning of the GST Appellate Tribunal.

5. Once the procedure has been notified and appointments of the Presidents and the Members have been made to the respective Benches of the GST Appellate Tribunal, which itself indicates the functioning of GST Appellate Tribunal are put to motion, no useful purpose will be served in keeping the matter pending before this Court.

6. While entertaining the writ petition, the petitioner(s) was directed to deposit certain amount, in addition to the amount paid under sub-section (6) of section 107 of the GST Act, which might have been complied with by the petitioner(s). For entertaining an appeal, sub-section (8) of section 112 of the CGST Act contemplates condition for depositing certain amount as prescribed in clauses (a) & (b) thereon.

7. In view of the aforesaid facts & circumstances of the case, without entering into the validity and legality of the impugned orders, the writ petition is disposed of with the following directions:-

(i) the petitioner(s) is/are permitted to prefer an appeal before the GST Appellate Tribunal as contemplated under section 112 of the GST Act as well as under the notification issued by the Central Government i.e. Notification No. CG-DL-E-17092025­266217 dated 17.9.2025, up to the period of June 30, 2026.

(ii) in case the appeal is preferred within the aforesaid period as referred herein above, the same shall be entertained without raising any objection with regard to the limitation;

(iii) while entertaining the writ petition, this Court directed the petitioner(s) to deposit certain amount. In case such amount is deposited by the petitioner(s), the same shall be treated as compliance of sub-section (8) of section 112 of the GST Act, for which the petitioner(s) shall furnish a certified copy of the interim order along with proof of deposit of such amount;

(iv) the Registrar of the GST Appellate Tribunal or the Officer appointed for verification of appeal shall intimate the petitioner(s) for removing the defects, if any, within a period of three weeks from the date of preferring the appeal and the defects, if any, shall be cured/removed by the petitioner(s) within a period of 30 days from the date of intimation of such defects;

(v) it is made clear that the appeal shall be decided in accordance with law on its own merits.