Parallel GST proceedings barred once one authority has already initiated action on the same subject matter, making later action without jurisdiction.

Section 6(2)(b) of the Central Goods and Services Tax Act, 2017 bars a second GST authority from initiating or continuing proceedings on the same subject matter once proceedings have already been initiated by the other authority. On the record, Central GST proceedings had commenced before the State GST authorities proceeded further, so the later State action was treated as hit by the statutory embargo against parallel proceedings. The impugned order-in-original and the summary order were therefore quashed as without jurisdiction and contrary to the Act.

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Issues: Whether the impugned order-in-original and the corresponding summary order were liable to be quashed on the ground that the State GST authorities had initiated proceedings on the same subject matter after the Central GST authorities had already initiated proceedings.

Analysis: Section 6(2)(b) of the Central Goods and Services Tax Act, 2017 bars initiation of proceedings by the proper officer under that Act where proceedings on the same subject matter have already been initiated by the proper officer under the State Goods and Services Tax Act. The record showed that the Central GST authorities had already commenced proceedings before the State GST authorities proceeded further on the same subject matter. The matter was treated as covered by earlier binding decisions of the same Court applying the statutory embargo against parallel proceedings.

Conclusion: The impugned order-in-original and the summary order were quashed as being without jurisdiction and contrary to Section 6(2)(b) of the Central Goods and Services Tax Act, 2017.

Ratio Decidendi: Where proceedings on the same subject matter have already been initiated by one GST authority, a second authority cannot validly commence parallel proceedings in view of the statutory bar under Section 6(2)(b) of the Central Goods and Services Tax Act, 2017.

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