Golden Period for aggrieved taxpayers up to 30/06/2026

Golden Period for affected taxpayers under GST law up to 30th June 2026.

The long-awaited Goods and Service Tax Appellate Tribunal (GSTAT) is operational now and vide their recent clarification, it is made abundantly clear that all appeals under section 107 by any aggrieved taxpayer for the period from 01/07/2017 till 31/03/2026 may be filed up to 30/06/2026. This is so irrespective of the fact as to whether the tax payer has paid only applicable pre deposit or has paid full taxes and did not initially have  any intention to go to GSTAT. The only condition required to be fulfilled is that there should be an order passed by the first appellate authority and the taxpayer did not get required relief from the first appeal.

There is scope for reviewing all the cases where the orders were passed by the first appellate authority under section 107 in all cases where the demand amount is more than Rs.10,00,000 and the required relief was not granted by the first appellate authority. It is strongly suggested that a review of all such cases is a must within two months as in case we find some merits in going to appeal before GSTAT, it may be done before 30/06/2026 which covers all cases pending as on date.

The new timeline of three months from date of order under section 107 shall be operational with effect from 01/04/2026. Hence, it is really a golden period for all aggrieved taxpayers as on date under GST Law up to 30/06/2026 to prefer an appeal.

The reasons for such recommendations are too many and a few of them are as below.

1. In almost 90 % of the cases, Section 74 has been incorrectly invoked and in most of such cases orders were passed  by rejecting the appeal in total.
2. Most of the orders passed under section 107 were in favor of revenue by simply rejecting the appeal under flimsy grounds such as limitation period crossed or pre deposit not made through cash ledger etc. These issues will be properly addressed by the GSTAT.
3. There are cases where single Show Cause Notice was issued for multiple financial years which is impermissible.
4. There are cases where the adjudication orders were passed confirming demand which is more than the amount proposed in SCN which is impermissible.
5. There are hundreds of decisions by various jurisdictional high courts where order in original or order in appeal was set aside or even quashed for improper servicing of notice or for passing orders ignoring the principles of natural justice etc. All similar cases are fit for appeal before GSTAT.
6. In each case, where the taxpayer initially decided to stop litigation as the only option was a writ before High Court at that time may have a sigh of relief now as appeal before GSTAT is much simpler when compared with a writ.
7. There are cases wherein ITC was denied to genuine buyers due to subsequent cancellation of registration of suppliers. There is no provision under law for such denial.
8. In one case 100 % of trade creditors as on 31/03 of that year was treated as due for more than 180 days and 18% GST demand was raised on such creditors balance. This is highly impermissible and there is no provision in law for assumptions.
9. In several cases, the adjudication officers or the first appellate authority confirm illogical and illegal demand due to pressure by top officials. Tax can be collected only under authority of law and not as per whims and fancies of the tax officials.
10. Section 129 as well as 130 are often misused to threat the taxpayer to pay taxes immediately as a businessman cannot afford to keep inward or outward movement of goods stopped.
11. Last, but not the least are cases which reached High Court by way of writ and the High Court has suggested alternate remedy.

The above list is only example, and the list may be extended to even 100.

Incidentally, 83 members of GSTAT have been issued orders to join respective benches on 21/01/2026 vide order dated 26/12/2025. This is expected to speed up the activities at various benches from February 2026.

Hence, it is requested that all GST professionals who have handled appeal before first appellate authority under GST and have an order under section 107 by which the taxpayer is aggrieved may act immediately to take complete stock of all high value cases and weigh the merits of going on appeal to GSTAT before 30/06/2026 to seek justice to the tax payer from the GSTAT.