The Kerala GST department has notified that adjudication of multiple show cause notices in GST by single adjudicating authority.
There can be situations wherein multiple taxpayers are identified to be involved with respect to a particular issue. In respect of show cause notices issued by officers of the Intelligence and Enforcement Vertical, there may be cases where the principal places of business of notices fall under the jurisdiction of multiple adjudicating authorities. There can also be situations where multiple show cause notices are issued on the same issue to different notices, having the same PAN but different GSTINs and their principal places of business fall under the jurisdiction of multiple adjudicating
authorities.
When such a situation arises, the present procedure followed is to transfer the case related to each taxpayer involved in the issue to the respective adjudicating authority after issuance of SCN by the proper officer concerned.
This results in a scenario where multiple authorities adjudicate on the same issue, potentially leading to legal challenges. To prevent such inconsistencies, a single adjudicating authority shall henceforth handle all adjudications in such situations, ensuring uniformity and consistency in decision-making.
For the purpose of adjudication in such scenarios, the Joint Commissioners of Taxpayer Services are empowered with state-wide jurisdiction.
When multiple taxpayers across the state are identified to be involved and interconnected in a single detected issue, such show cause notices may be adjudicated, regardless of the amount involved, by the Joint Commissioners of Taxpayer Services.
The Show Cause Notices issued by any vertical which require a common adjudicating authority shall be made answerable to the Taxpayer Services Joint Commissioners in the following manner regardless of the amount involved.
Where the principal place of business of the noticee, having the highest amount of demand of tax or penalty in the said show cause notice, falls in a particular district, then the notices issued to all other interconnected notices, whose principal places of business may fall under the jurisdiction of multiple adjudicating authorities, shall be adjudicated by the. Joint Commissioner of Taxpayer Services of that specific district.
In situations where multiple taxpayers involved in a single issue are identified to be located in the same district, but under the jurisdiction of
different adjudicating authorities, to bring uniformity in adjudication, irrespective of the amount involved, all SCNs shall be adjudicated by the
Joint Commissioner of Taxpayer Services vertical of that district.
Circular Details
Circular No. :21/2024-Kerala SGST
Date: 18/11/2024
