The Centre will shortly issue rules for the establishment of GST appellate tribunals

After receiving clearance from the GST Council, the Centre will shortly issue regulations for the establishment of GST appellate tribunals and nominate members, according to a top CBIC official on Monday. Shashank Priya, a member of the Central Board of Indirect Taxes and Customs (CBIC), stated that the agency is aiming to extend the taxpayer base and triangulate data with business taxpayers in the income tax regime.

In March, Parliament approved modifications to the Finance Bill that would pave the way for the establishment of appellate courts to resolve GST issues. According to the idea, the tribunal will establish benches in each state, with a Principal Bench in Delhi hearing complaints relating to “place of supply.” Currently, taxpayers who disagree with a tax authority’s decision must file an appeal with the appropriate High Court.

The settlement procedure takes longer since the high courts are already overburdened with cases and lack a specific bench for dealing with GST cases. The establishment of state and national-level benches would allow for faster dispute resolution. According to Priya, some businesses have abused the registration process, and the CBIC is currently attempting to tighten the registration procedure and use information technology to find fraudsters.

He stated that 45,000 bogus GST registrations comprising Rs 13,900 crore in evasion are being investigated as part of a two-month-long drive by central and state tax inspectors to catch fake registration. The police have also prevented the misuse of ITC worth Rs 1,430 crore.