TaxTMI 
TaxTMI 
26 Oct 2026 
The score is improving steadily and the GSTAT is working with dedication with the bear minimum support system which is evident from the fact that as on 24/10/2026 a total number of 10,044 GSTAT appeals stand admitted for hearing with 529 final orders having been passed. These orders reach the common public very quickly within a week through websites like taxtmi.com etc. The orders are in standard formats in a structured manner covering all the required inputs for a GSTAT order. Let us focus 10 more orders of GSTAT passed during the month of September 2026 in this write up.
Year is 2026 for Columns 2 and 3
Analysis: The above ten case laws were selected only based on timing as last week of September 2026. A careful analysis reveals that 8 appeals were filed by taxpayer and two by Revenue. Out of 8, 7 cases went in favor of taxpayer whereas out of two Revenue appeals, both the cases got dismissed. This would mean that out of 10, except serial number 5, in all other cases, the taxpayer got the favorable order. In serial number 5 the issue was whether interest is payable till such time the amount is actually debited to electronic cash ledger. This is a technical issue as the moment the funds are transferred to electronic cash ledger, the taxpayer blocks the funds but the Government says they get the funds only when it is actually transferred to tax account from the Electronics cash ledger. The GSTAT has admitted this and accordingly, it is a lesson to all taxpayers to make payment of GST appropriately to avoid interest. This is all the more important because the rate applicable for delayed payment is 18% whereas, almost in 80% of the cases, the return / profit margin from business itself is less than 10%. It makes sense to pay applicable GST most appropriately, even by borrowing at a cost of 12%, because, once tax is confirmed, interest is automatic.
It appears that the Government is closely watching all the developments in terms of final orders from High Courts as well as Supreme Court during the recent past and had decided to go by the above decisions without taking the stand to amend the law with retrospective effect as the one happened in Safari Retreats case in Section 17 (5) (d). This is a welcome step as taxpayers as well as new investors need stable policies. Incidentally, it may be recalled that the then Finance Minister, Mr. Arun Jaitely first firmly ruled out retrospective amendments during his Maiden Budget Speech and subsequent post-budget interview on July 10, 2014, stating, "Will this government rely on retrospective tax legislation? My answer is no." He later reiterated this stance multiple times, including during a Lok Sabha debate on July 18, 2014, and at subsequent investment forums, emphasizing that retrospective taxation severely damaged India's reputation among global investors. This is encouraging to note that the Government is really interested in reduction in litigation and that is why now the CBIC is in the process of issuing circulars and instructions which shall have huge impact on future litigation.
GSTAT, High Courts as well as Supreme Court are committed to pass reasoned as well as speaking orders exactly in line with extant legal provisions as well as the facts of the case. The Government seems to have accepted the reality and has taken several steps through the 08/10/2026 GST Council meeting proposals. The GST Council has already issued FAQ for all which may be taken advantage.
Conclusion: It is going to be a good time from 01/04/2027 onwards for the taxpayers as by 31/03/2027, some more issues are likely to be settled. More clarity would come in terms of decisions from almost all the benches of GSTAT. It is a well thought as well as practical proposition that revenue may prefer appeal in High Courts only where the amount in dispute exceeds Rs. one crore. Almost a majority of appeals reaching GSTAT are for disputed amount of less than one crore and wherever the taxpayer gets relief from GSTAT, it becomes final. The chances of a taxpayer getting an adverse order from GSTAT is very less as only when there are any violation of any of the provisions or negligence in compliance may lead to confirming the OIA, the probability of which is very less.
Conclusion: During the initial years of GST, the portal had lot of issues and the GST officials took advantage of that by collecting huge taxes even from genuine taxpayers as there were no options available for the taxpayer. There was no certainty on setting up of the GSTAT benches due to Court cases etc. Now, the portal has stabilised, even though there is still scope for further improvements. After September 2025, the Government has also clearly understood the genuine hardships faced by taxpayers due to the mindset of GST officials and as the Government thought that it would be an easy task to get rid of this issue by way of amendment and the first one was the introduction of Section 74A with effect from 01/04/2024. This single amendment saves lakhs of improper invocation of non- fraud cases as fraud cases, as now there is such distinction at Show Cause Notice stage. Let us propose more changes, as Government has proved that they are willing to listen, as established from the proposed amendment on general penalty under section 125.