CBIC clarifies the procedure for review revision and appeal against orders passed by Common Adjudicating Authorities

 This Tax Alert summarizes a recent Circular¹ issued by the Central Board of Indirect Taxes and Customs (CBIC), regarding the authorities responsible for review, revision, and appeals against the Order-in-Original (OIO) passed by Common Adjudicating Authority (CAA) where Show Cause Notices (SCNs) have been issued by the Directorate General of GST Intelligence (DGGI).

 

Vide earlier notification² read with circular³, the Joint/Additional Commissioners were designated as CAA for adjudicating SCNs issued by DGGI. However, it did not specify the procedure related to review, revision, and appeals for such Orders passed by CAA.

 

CBIC has now clarified that:

 

• The Principal Commissioner or Commissioner under whom the CAA is posted shall be the Reviewing Authority for review of OIOs under Section 107 of the Central Goods and Services Tax Act, 2017 (CGST Act).

 

• The Principal Commissioner or Commissioner under whom the CAA is posted shall act as a Revisional Authority for revision in respect of OIOs under Section 108.

 

• Appeal against OIOs passed by the CAA shall lie before the Commissioner (Appeals) corresponding to the territorial jurisdiction of the Principal Commissioner or Commissioner under whom the CAA is posted, as detailed in Table III of Notification No. 02/2017-Central Tax.

 

• The Principal Commissioner or Commissioner under whom the CAA is posted shall represent the department in appeal proceedings against such OIOs and may appoint a subordinate officer as the designated officer for filing the departmental appeal.

 

• The Reviewing or Revisional Authority may seek comments from the concerned DGGI formation before proceeding to review or revise the order passed by the CAA.

 

Comments:

 

1. The clarification is expected to streamline post-adjudication procedure for SCNs issued by DGGI and adjudicated by CAA, eliminating ambiguities regarding designated authorities.

 

2. In case of single consolidated appeal, it is unclear whether the pre-deposit needs to be paid at individual GSTIN level or at jurisdictional registration aligned with the appellate authority.

 

Further, in the latter case, clarity is required whether the pre-deposit threshold should be computed per GSTIN, or only for the registration making such payment.

 

3. Where a single appeal is filed along with pre-deposit, taxpayer may be required to communicate the same to the Jurisdictional Authorities in other States in order to ensure that recovery proceedings are not initiated in such State.

 

4. If multiple appeals have already been filed through respective GSTINs, businesses may have to evaluate whether such duplicate or overlapping appeals can be substituted with a consolidated appeal. 

 

 

^[1] Circular No. 250/07/2025-GST dated 24 June 2025

^[2] Notification No. 02/2017-Central Tax dated 19 June 2017

^[3] Circular No. 239/33/2024-GST dated 4 December 2024