Allahabad High Court on Wednesday granted two more weeks to the Central and state governments to submit the status report as to what progress has been made by them in setting up GST State Tribunal at Allahabad, which is a principal seat of Allahabad High Court. The court made it clear that no further time will be granted to them in this connection. Hearing a writ petition filed by M/s Torque Pharmaceuticals Pvt. Ltd, a division bench comprising Justice Bharati Sapru and Justice Rohit Ranjan Agarwal directed to list this matter on July 19 for the next hearing.The court directed that a copy of the order may be given to assistant solicitor general Gyan Prakash, who is representing the Central government, and the chief standing counsel Shri Vikas Chandra Tripathi, who is representing the state government, for communication and necessary compliance. President of Allahabad High Court Bar Association Rakesh Pandey and its secretary J B Singh were also present during the proceedings to assist the court. On May 22, the court had directed both the Central and state governments to file a status report but no report was filed.
In March this year, the state government had filed an affidavit in the high court stating that a revised proposal had been sent to the Central government for setting up Goods and Service Tax (GST) Appellate Tribunal in Allahabad and its regional benches in 19 other districts of the state. According to section 109 of GST Act, the Central government on the recommendation of the state government will constitute an appellate tribunal knows as GST Appellate Tribunal for hearing appeals against the orders passed by the appellate authority or revisional authority. In the petition, it was said that despite clear-cut provision for setting up the appellate tribunal, no GST Tribunal has been set up in the state so far. As a result, the assessees of GST are facing problems in the state. GST is an indirect tax (or consumption tax) levied across the country on the supply of goods and services. It came into effect from July 1, 2017, through the implementation of 101st Constitutional amendment. The tax replaced the existing multiple flowing taxes levied by the Central and state governments.