The Gujarat High Court has raised concerns over the continued non-functionality of a Goods and Service Tax Appellate Tribunal (GSTAT) despite its formal constitution.
The bench of Justice A.S. Supehia and Justice Pranav Trivedi issued notice to the government and directed them to clarify the operational status of the concerned tribunal.
The Court pointed out that the petitioner had an alternative statutory remedy of filing an appeal before a tribunal constituted through a notification dated 17 September 2025.
However, the petitioner informed the Court that the tribunal was not functional as of the date of hearing, making it impossible to pursue the appellate remedy.
Responding to the Court’s query, the State’s counsel submitted that members of the tribunal had already been appointed and premises had been identified, but the tribunal had yet to commence operations.
The High Court observed that it has repeatedly been required to entertain petitions from assessees even where a statutory appellate mechanism exists.
The bench remarked that once a tribunal is constituted, it must be made functional without delay, failing which litigants are compelled to approach constitutional courts despite having an alternative and efficacious remedy.
The Court emphasized that the purpose of creating specialized tribunals is to ensure efficient and accessible dispute resolution, and their non-functionality defeats this legislative intent.
The High Court issued notice in the matter and scheduled the next hearing for 27 March 2026. In the meantime, the respondents have been directed to inform the Court whether the tribunal has been made operational; file an affidavit, if necessary, addressing the merits of the case; and provide data regarding applications filed before the tribunal.
Case Details
Case Title: M/S Sabarkantha District Co-Operative Milk Producers Union Ltd. Versus Union Of India & Ors.
Case No.: R/Special Civil Application No. 3443 Of 2026
Date: 13/03/2026
Counsel For Petitioner: Amal Paresh Dave
Counsel For Respondent: Deepak N Khanchandani
Read More: JURISHOUR | TAX LAW DAILY BULLETIN : MARCH 13, 2026
