Justice regarding disputes under the Goods and Services Tax will now not only be fair and fast, but also transparent and accessible to all, Union Finance Minister Nirmala Sitharaman said while launching the GST Appellate Tribunal on Wednesday (September 24, 2025).
The GSTAT is the appellate authority established under GST law to hear various GST-related appeals against orders by the first appellate tribunal. While benches of the GSTAT had been notified in 2019, legal hurdles meant the President of the body could be appointed only in 2024.
The GST Council, during its 56th meeting on September 3, 2025, had decided that the GSTAT would be made operational for accepting appeals before the end of September and would begin its hearings before the end of December this year.
“Earlier, States often differed in interpreting product classifications or even the definition,” Ms. Sitharaman said during her speech at the launch event. “We have had very many complications because of that.”
“The GST Council had to issue frequent clarifications that resulted in unnecessary locking up of capital of the businesses,” she added. “This especially affected the MSMEs. With the GSTAT coming in now, with the Centre and States on board, we open a new era of predictable, specialised jurisprudence.”
She explained that, when a taxpayer has a dispute, the first appeal lies within the tax administration, but at the second level, whether the original order is from the Centre or in a State, the appeal will converge at the GSTAT, which will serve as a single, independent forum.
“Ease of living for taxpayers extends beyond filing and refunds,” Ms. Sitharaman asserted. “It includes fair, efficient dispute resolution. The GSTAT is a natural extension of this reform arc. It is an important advance for the ease of doing business and a vital forum for justice.”
The Union Finance Minister called for jargon-free decisions in simple language, and time standards for listing, hearing, and pronouncement.
Also speaking at the event, Sanjaya Kumar Mishra, President of the GSTAT, said that the role of the GSTAT in justice delivery could not be overstated “in view of the complex nature of the law”.
“The GST regime was started in July 2017 and is a monumental reform,” he said. “But with any new or transformative law, there are differences in interpretations and applications.”
“This [the GSTAT] will now be the largest tribunal in the country, having more than 116 members, 32 benches and 45 locations, and a pendency of more than 4 lakh cases from day 1,” he added.
Mr. Mishra said that this backlog of cases would be addressed by prioritising matters that affect systematic certainty. He said that about 90% of the cases filed before the GSTAT will be single-bench cases, and will not involve a complicated question of law and will involve less than ₹50 lakh of a tax burden.
