TaxTMI 
TaxTMI 
Various circulars were issued by CBIC. Whether all the circulars (if no seperate circular is issued by state on the subject matter) are binding upon state?
Is Circular issued by CBIC binding upon state officer
08 Jun 2022 
4 Replies 
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Binding effect of central circulars: they clarify CGST administration but are not judicially binding and states should issue SGST equivalents.
Circulars issued by the CBIC function as departmental clarifications under central law applicable to the CGST component and are administratively binding on the issuing department but not judicially binding on courts or taxpayers. States are formally required to issue SGST equivalents under their statutory powers, though GST Council recommendations and administrative practice commonly produce practical uniformity; several states have begun issuing their own circulars, instructions or SOPs to replicate or align with central guidance. (AI Summary)
Circulars issued by the CBIC function as departmental clarifications under central law applicable to the CGST component and are administratively binding on the issuing department but not judicially binding on courts or taxpayers. States are formally required to issue SGST equivalents under their statutory powers, though GST Council recommendations and administrative practice commonly produce practical uniformity; several states have begun issuing their own circulars, instructions or SOPs to replicate or align with central guidance. (AI Summary)