Plea For GST Tribunal Bench In Indore: HC Issues Notice To Centre, State Govt

Indore (Madhya Pradesh): Indore bench of Madhya Pradesh High Court on Tuesday admitted a petition challenging the government's decision to cancel the setting up of a GST Tribunal bench in Indore and issued notices to the Central Government, the GST Council, Madhya Pradesh commercial tax department, and others seeking their response within four weeks.

The initial hearing on the petition was held on Tuesday, during which the court inquired whether most of the tribunal's cases in the state and work would be associated with Indore.

The petitioner's representative affirmed this, citing the government's prior decision to designate Indore for this purpose.

The Tax Practitioners Association (TPA) presented several arguments before the court. They highlighted that Indore boasts the highest number of GST-registered businesses and generates substantial revenue. In 2019, the state government proposed establishing the GST Appellate Tribunal in Indore, but in 2021, the proposal was altered in Bhopal’s favour. The TPA argued that this decision would further burden taxpayers.

Additionally, the TPA pointed out that some smaller states, such as Chhattisgarh, have two GST Appellate Tribunal benches, while several other states, including Andhra Pradesh, Kerala, Rajasthan, and Gujarat, have multiple benches. However, in Madhya Pradesh, there will be only one bench and Indore’s justified claim was overlooked. The TPA emphasised that, given the presence of the Income Tax Appellate Tribunal and the High Court in Indore, not having a GST Appellate Tribunal bench in the city would make the tax case adjudication process more challenging and time-consuming for taxpayers.