Taxpayers can withdraw court cases and approach GST Tribunal for speedier Results

In a significant move to expedite outcomes, Finance Minister Nirmala Sitharaman announced in the Lok Sabha on Tuesday that taxpayers now have the option to withdraw their Goods and Services Tax (GST)-related cases from the High Courts and the Supreme Court.

GST

GST

They can instead opt to lodge these cases with the upcoming GST appellate tribunals. The Parliament's Lower House subsequently passed amendments to the central GST law, aiming to operationalize the tribunals at the earliest.

GST

Addressing concerns and queries raised by Members of Parliament during the debate over the Central Goods and Services Tax (Second Amendment) Bill, 2023, Sitharaman shared that each state would have two benches of the tribunal. These would be strategically located, with one in the state capital and the other in key commercial centers based on the inputs received from the states.

GST

The amendments align the eligibility and age norms for members and the President of the Appellate Tribunals with the Tribunal Reforms Act of 2021. Sitharaman emphasized the taxpayer's freedom to transition from the High Courts and the Supreme Court to the newly established tribunals, ensuring a faster resolution of their cases.

GST

In addition, the Lok Sabha also approved the Provisional Collection of Taxes Bill, 2023. This bill aims to curb speculative trading activity by providing immediate effect to impositions or hikes in customs and excise duties.

GST Tribunal

Responding to concerns about glitches faced by taxpayers, multiple tax rates, and the need for simplification, Sitharaman acknowledged the ongoing efforts of the GST Council to rationalize rates. She mentioned the formation of a Group of Ministers (GoM) within the GST Council, tasked with the substantial exercise of rate rationalization.

GST Tribunal

However, she pointed out that the recent change in the government of Karnataka necessitates a relook at the committee chairman's role and subsequent reconstitution of the committee. The rationalization of rates is part of this broader initiative undertaken by the GoM within the GST Council.