AI OCR 
TaxTMI 
TaxTMI 
TaxTMI 
The division bench of the GSTAT, New Delhi consisting of member judicial and member technical passed an order under GST on 18/05/2026 setting an example on the manner of service of notice to the respondent in the matter of A & T SECURITY SERVICES PRIVATE LIMITED Versus ADDITIONAL COMMISSIONER, OFFICE OF THE COMMISSIONER CENTRAL TAX DELHI WEST & ORS. - 2026 (5) TMI 1428 - GSTAT NEW DELHI. As the GSTAT has started effective hearings as well as passing orders, tremendous hope exists on settling the pending appeals in the days to come in an effective as well as efficient manner.
The appellant filed the E appeal on 19/03/2026 in the GSTAT portal. Notice was posted in the portal on 19/03/2026 itself. Moreover, when the bench decided to hear the matter, e mail was also sent on 25/03/2026. However, the department instead of appearing in person or virtual mode, sent a communication to GSTAT stating that ' no credentials have been shared with this office for verifying the documents uploaded by the appellant in the portal'. As the first hearing planned during the month of May, GSTAT sent a mail to NIC on 29/04/2026 to help the respondent in getting access to the appeal filed by the appellant in the portal.
The hearing was held on 18/05/2026 and the authorized representative of the appellant appeared for the hearing whereas there was no response from the respondent (GST Officials). It is really very interesting to note that GST officials all over India have simply posted the SCN itself as well as the hearing notices only in the GST portal and that too in additional notices column and passed ex party orders in so many cases in GROSS VIOLATION of Section 169 as well as Section 75 (4) of the CGST Act. However, after two modes of communication through portal as well as the e mail, the department has choose not to appear before the division bench.
Though the option of passing an order by listening counsel of the petitioner, the GSTAT decided to adhere to the principles of natural justice and decided to post the hearing on 07/07/2026 so that a fair opportunity of hearing is offered to the respondent who are well known for their special nature of passing ex party orders.
Interestingly, the appellant came forward to furnish the physical papers before the registry within one week to enable the GSTAT to forward the same to the respondent through speed post. The GSTAT has in line with section 169 of the CGST act ensured that sending the notice by simply posting on the portal is just one option and has sent a e mail as well. This was done to ensure that the communication happens to be an effective one. In line with the response of the respondent on non -availability of appeal papers to them, made arrangements to send speed post by setting an example to the department that communication through any one of the specified modes under section 169 is only an empty formality and the purpose should be effective communication. Accordingly, the third option is also exercised by the GSTAT to ensure that the department is made comfortable in appearing the hearing posted on 07/07/2026.
This second order by GSTAT, New Delhi directly on GST legal issue, next to the previous one on 11/02/2026 in the matter of M/s Sterling & Wilson Pvt. Ltd. Through Zarine Yazdi Daruvala Versus Commissioner, Odisha, Commissionerate of CT GST & Ors. Sanjukta Gantayat. - 2026 (2) TMI 726 - GSTAT NEW DELHI passed by the Honorable president of GSTAT gives us huge expectations on the principles of natural justice. Though GSTAT has already passed many orders, most of them are connected with anti -profiteering issues whereas the above two cases are directly on GST Law.
As the requirements specified in Section 169 are truly complied by the GSTAT on communication of hearing by even going to the third mode, let us hope that all GST officials all over India, from now onwards follow section 169 as well as section 75 (4) in letter as well as sprit.
Unlike the writs, where issues are not decided on GST matters but based on merits, the orders passed by lower authority are simply set aside or quashed, where department takes a stand that the same high court ruling is not binding on them, similar stand on GSTAT orders are impermissible as the orders passed by Principal Bench are binding on all GST officials all over India whereas all orders passed by State Benches are also binding across all GST offices within the Jurisdiction of that State Bench. Hence, as GSTAT has already started working, let us hope for good and reasoned orders at adjudication as well as first appeal level from GST officials all over India in the days to come.