The Central Board of Indirect Taxes and Customs (CBIC) has clarified that departmental appeals arising from DGGI cases decided by a Common Adjudicating Authority must be filed separately for every taxpayer or noticee before the Goods and Services Tax Appellate Tribunal Bench having territorial jurisdiction over that person.
Under Circular No. 256/02/2026-GST dated July 25, 2026, the Principal Commissioner or Commissioner exercising jurisdiction over the individual taxpayer will act as the reviewing authority under Section 112(3) of the Central Goods and Services Tax Act, 2017.
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The clarification settles procedural questions that had arisen because a Common Adjudicating Authority may possess all-India jurisdiction and decide a single DGGI proceeding involving taxpayers or noticees located in different States and Commissionerates.
Although adjudication in such cases is centralised, CBIC has made it clear that the subsequent departmental appeal before the GST Appellate Tribunal will follow the jurisdiction of each individual taxpayer.
Common Adjudicating Authorities in DGGI Cases
CBIC had issued Notification No. 02/2022-Central Tax dated March 11, 2022, inserting paragraph 3A and Table V into Notification No. 02/2017-Central Tax. These provisions empowered Additional and Joint Commissioners of specified Central Tax Commissionerates to act as Common Adjudicating Authorities with all-India jurisdiction for adjudicating show cause notices issued by officers of the Directorate General of GST Intelligence.
The framework was subsequently amended through Notification No. 27/2024-Central Tax dated November 25, 2024.
CBIC had also issued Circular No. 169/01/2022-GST dated March 12, 2022 and Circular No. 239/33/2024-GST dated December 4, 2024, laying down guidelines for assigning DGGI show cause notices to Common Adjudicating Authorities and for passing the resulting adjudication orders.
Circular No. 250/07/2025-GST dated June 24, 2025 thereafter addressed the reviewing and revisional authorities, as well as the filing of departmental appeals before the first appellate authority against orders passed by a Common Adjudicating Authority.
However, field formations sought further clarity about the procedure to be followed when the matter progressed from the first appellate authority to the GST Appellate Tribunal.
Three Jurisdictional Questions Raised Before CBIC
The Board said references had been received seeking clarification on three issues.
The first was the identity of the reviewing authority for an Order-in-Appeal arising from an Order-in-Original passed by a Common Adjudicating Authority.
The second concerned the CGST authority responsible for filing a departmental appeal before the GSTAT.
The third was whether the appeal should be presented before the GSTAT Bench having jurisdiction over the individual taxpayer or before the Bench having jurisdiction over the Commissionerate in which the Common Adjudicating Authority is located.
CBIC examined these issues in consultation with the Union Ministry of Law and Justice before prescribing a uniform procedure.
Appellate Authority Must Upload and Communicate Order
The circular provides that when an appellate authority passes an order under Section 107 of the CGST Act in a case arising from an Order-in-Original passed by a Common Adjudicating Authority, it must upload the Order-in-Appeal on the GST common portal.
The appellate authority must also send the order by email to the Principal Commissioner or Commissioner of the CGST Commissionerate having jurisdiction over the Common Adjudicating Authority. A physical copy of the order must also be forwarded.
Thus, the Commissionerate supervising the Common Adjudicating Authority will initially receive and coordinate the examination of the appellate order.
CAA Commissioner to Obtain DGGI Inputs
After receiving the Order-in-Appeal, the Principal Commissioner or Commissioner having jurisdiction over the Common Adjudicating Authority must examine it.
The officer may seek comments and inputs from DGGI where considered necessary. This exercise must be undertaken at the earliest, according to the circular.
The CAA Commissioner must then forward the comments, along with recommendations, to the respective jurisdictional Principal Commissioners or Commissioners of all taxpayers or noticees covered by the original adjudication order.
This coordinating role is intended to ensure that the relevant DGGI material and the position of the Commissionerate supervising the common adjudication are available to every jurisdictional reviewing authority.
Taxpayer’s Jurisdictional Commissioner Is Reviewing Authority
CBIC has categorically stated that the jurisdictional CGST Principal Commissioner or Commissioner of a particular taxpayer or noticee will be the reviewing authority under Section 112(3) of the CGST Act.
The reviewing authority will examine the legality and propriety of the Order-in-Appeal insofar as it concerns the taxpayer or noticee falling within its jurisdiction.
While undertaking the review, the authority must take into account, among other things, the comments and recommendations sent by the Commissioner having jurisdiction over the Common Adjudicating Authority.
Where the Commissioner supervising the Common Adjudicating Authority also exercises jurisdiction over one of the taxpayers concerned, that Commissioner will perform the role of reviewing authority for that particular taxpayer.
Section 112(3) empowers the Commissioner to examine an order passed by an appellate or revisional authority to determine whether it is legal and proper. If the Commissioner considers it necessary, an officer subordinate to the Commissioner may be directed to apply to the Appellate Tribunal for determination of the points specified in the review order.
Subordinate Officer May Be Directed to File Appeal
If the jurisdictional reviewing authority concludes that the Order-in-Appeal should be challenged, it may issue an order appointing and directing an officer subordinate to it to file and pursue the departmental appeal before the GST Appellate Tribunal.
The review is therefore to be conducted taxpayer-wise, even where the underlying DGGI investigation, show cause notice, adjudication and first appellate order concern several connected taxpayers or noticees.
The decision on whether to appeal will also rest with the jurisdictional Commissioner of each taxpayer, rather than exclusively with the Commissionerate supervising the Common Adjudicating Authority.
Separate GSTAT Appeal Required for Every Taxpayer
The circular expressly requires the filing of a separate departmental appeal for each taxable person or noticee covered by the Order-in-Appeal.
Each appeal must be filed by the CGST Commissionerate having jurisdiction over the concerned taxpayer or noticee.
Consequently, a single departmental appeal covering every person named in a common adjudication proceeding is not contemplated. The common nature of the investigation and adjudication does not combine the taxpayers into one proceeding at the GSTAT filing stage.
The prescribed arrangement may result in separate appeals before different GSTAT Benches where the taxpayers covered by a common DGGI proceeding are registered or located in different territorial jurisdictions.
Taxpayer’s Location Determines Competent GSTAT Bench
CBIC has further clarified that each appeal must be filed before the GSTAT Bench exercising territorial jurisdiction over the concerned taxpayer or noticee.
The location of the Common Adjudicating Authority will not determine the competent Tribunal Bench.
The territorial jurisdiction of GSTAT Benches was notified through S.O. 3048(E) dated July 31, 2024, as subsequently amended. The notification was issued by the Central Government under Section 109 of the CGST Act on the recommendations of the GST Council.
GSTAT has been constituted under Section 109 to hear appeals against orders passed by appellate and revisional authorities under Sections 107 and 108. According to the Tribunal’s official portal, appeals are filed electronically and processed through its Case Information and Document Management systems. GSTAT states that it has a Principal Bench in New Delhi and 31 State Benches with sittings at 44 locations.
Post-Filing Intimation to CAA Commissioner
Once an appeal has been filed, the jurisdictional Principal Commissioner or Commissioner of the taxpayer must intimate the Principal Commissioner or Commissioner having jurisdiction over the Common Adjudicating Authority.
A copy of the departmental appeal filed before the GSTAT must accompany the intimation.
CBIC has prescribed a similar communication requirement when the jurisdictional reviewing authority decides that no departmental appeal is necessary. In that situation, the decision not to appeal must also be communicated to the Commissioner supervising the Common Adjudicating Authority.
The complete procedure therefore moves from central coordination to taxpayer-specific review and filing: the appellate order is first communicated to the CAA Commissioner; that Commissioner may obtain DGGI inputs and forward recommendations; each taxpayer’s jurisdictional Commissioner then independently reviews the order; and separate appeals, wherever authorised, are filed before the respective territorially competent GSTAT Benches.
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