Important GST Judgment – Limitation for Appeal Starts Only on Proper Service of Order

26Dec 2025 by admin

Important GST Judgment – Limitation for Appeal Starts Only on Proper Service of Order

Allahabad High Court | Dec 2025
Bambino Agro Industries Ltd vs State of Uttar Pradesh & Ors
[TS-1033-HC(ALL)-2025-GST]

Key Issue

Whether mere uploading of a Show Cause Notice (SCN) or adjudication order on the GST portal amounts to valid “communication” for the purpose of computing limitation under Section 107 of the CGST/SGST Act.

What the High Court Held

The Allahabad High Court has delivered a significant and taxpayer-friendly ruling, holding that:

  1. Portal upload alone is NOT sufficient communication
    Uploading an SCN or adjudication order only on the GST common portal does not automatically trigger the limitation period for filing appeal under Section 107.
  2. Limitation starts only on actual or legally valid communication
    The three-month appeal period begins only when the order is actually or constructively communicated in accordance with Section 169 of the GST Act.
  3. Physical/offline service prevails over electronic service (in case of conflict)
    Where both electronic and physical modes are claimed, the date of physical/offline service shall prevail, unless the department proves otherwise.
  4. No presumption of service from portal upload
    The Court noted:
    • GSTN does not provide any electronic trail showing when an assessee actually opened, viewed, or downloaded an order.
    • There is no statutory obligation on taxpayers to check the GST portal daily.
    • Therefore, no deemed service can be presumed merely from uploading on the portal for Section 107 purposes.
  5. Burden of proof lies on the Department
    If the department claims that the appeal is time-barred, it must prove the date of valid service/communication.
    In absence of such proof, benefit of doubt goes to the taxpayer.
  6. Writ jurisdiction maintainable despite alternate remedy
    Since the GST Appellate Authority:
    • Has no power to condone delay beyond 30 days, and
    • Has no power to remand matters,
      the Court held that writ petitions are maintainable where limitation is lost due to improper service.

Why This Judgment Is Important

  • Addresses a widespread practical problem under GST where notices and orders are uploaded on the portal without ensuring proper service.
  • Protects taxpayers from losing their statutory right of appeal due to system-driven or procedural lapses.
  • Reinforces that digital convenience cannot override principles of natural justice.
  • Likely to be relied upon across India in cases involving:
    • Ex-parte GST orders
    • Delayed knowledge of adjudication orders
    • Recovery initiated without valid service

Practical Takeaways for Taxpayers

  • If you discover an order only at the time of recovery, the appeal may still be within time.
  • Always document the actual date of receipt/knowledge of the order.
  • Do not assume appeal is time-barred merely because the order was uploaded earlier on the portal.
  • This judgment provides strong grounds for relief before High Courts where appeal rights are defeated due to improper service.

Our View

This ruling is a landmark development in GST litigation, restoring balance between digital governance and taxpayer rights. It reinforces that “communication” is a matter of substance, not form, and procedural shortcuts cannot curtail statutory remedies.