Notification No. 02/2026 - Central Tax: GSTAT Appeal Guide

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Notification No. 02/2026 – Central Tax: Seeks to empower the Principal Bench of the Appellate Tribunal, New Delhi constituted under sub-section (3) of section 109 of the said Act to hear appeals made under section 101B of the said Act.

[TO BE PUBLISHED IN THE GAZETTE OF INDIA, EXTRAORDINARY, PART II, SECTION 3, SUB SECTION (ii)]

S.O. 2286(E).— In exercise of the powers conferred by sub-section (1A) of section 101A of the Central Goods and Services Tax Act, 2017 (12 of 2017) (hereinafter referred to as the said Act), the Central Government, on the recommendations of the Council, hereby empowers the Principal Bench of the Appellate Tribunal, New Delhi constituted under sub-section (3) of section 109 of the said Act,
to hear appeals made under section 101B of the said Act.

2. This notification shall be deemed to have come into force on the 1st day of April, 2026.

BALASUBRAMANIAN KRISHNAMURTHY,
Joint Secretary

📚 Frequently Asked Questions (FAQs): Notification No. 02/2026 – Central Tax

Q1. What is Notification No. 02/2026 – Central Tax?

Answer:
Notification No. 02/2026 – Central Tax empowers the Principal Bench of the Goods and Services Tax Appellate Tribunal (GSTAT), New Delhi to hear appeals filed under Section 101B of the CGST Act, 2017. The notification has been issued by the Central Government on the recommendations of the GST Council under Section 101A(1A) of the CGST Act and is deemed to have come into force from 1 April 2026.

Q2. What is the main objective of this notification?

Answer:
The primary objective is to clearly authorize the Principal Bench of GSTAT to hear appeals arising under Section 101B of the CGST Act.
In simple terms, the notification removes any uncertainty about which appellate authority will hear appeals relating to decisions passed under the advance ruling provisions. This ensures consistency in handling such appeals across India.

Q3. Which GSTAT Bench has been empowered under this notification?

Answer:
The notification specifically empowers the Principal Bench of the Appellate Tribunal located in New Delhi, constituted under Section 109(3) of the CGST Act.
Many businesses actually face confusion regarding whether State Benches or the Principal Bench will hear certain appeals. This notification clearly assigns jurisdiction for appeals under Section 101B to the Principal Bench.

Q4. Which provision gives the Government the power to issue this notification?

Answer:
The notification has been issued under Section 101A(1A) of the CGST Act, 2017.
This provision empowers the Central Government, based on the recommendations of the GST Council, to specify the Appellate Tribunal that will hear appeals under Section 101B. The notification is therefore an administrative implementation of the statutory framework established under the CGST Act.

Q5. What is Section 101B of the CGST Act?

Answer:
Section 101B deals with appeals against certain orders relating to the National Appellate Authority for Advance Ruling framework under GST.
If you look at it practically, businesses seeking certainty on GST implications often rely on advance rulings. This provision ensures that eligible disputes arising from such rulings can be heard by the designated Appellate Tribunal instead of creating uncertainty about the appropriate appellate forum.

Q6. From when is Notification No. 02/2026 applicable?

Answer:
Although the notification was issued on 7 May 2026, it has been given retrospective effect from 1 April 2026.
This means the Principal Bench is deemed to have been empowered from that date. Businesses and tax professionals should therefore consider 1 April 2026 as the effective date while determining the appropriate appellate forum.

Q7. Does this notification change GST rates or compliance requirements?

Answer:
No. This notification does not affect GST rates, return filing, input tax credit, or registration procedures.
Its purpose is purely procedural. It only identifies the competent appellate authority for appeals under Section 101B. Therefore, taxpayers should not interpret it as introducing any new tax liability or compliance obligation.

Q8. Who is likely to be affected by this notification?

Answer:
The notification is particularly relevant for businesses, tax professionals, legal practitioners, and taxpayers involved in advance ruling disputes under GST.
Let’s understand this with an example. Suppose a company receives an order that is appealable under Section 101B. After this notification, it is clear that such an appeal will be heard by the Principal Bench of GSTAT, New Delhi, thereby removing jurisdictional uncertainty.

Q9. Why is this notification important for GST litigation?

Answer:
The notification strengthens the GST appellate framework by clearly assigning jurisdiction to the Principal Bench.
Earlier, there could have been uncertainty regarding which bench should hear appeals covered under Section 101B. By expressly empowering the Principal Bench, the Government has promoted procedural clarity, consistency, and smoother administration of GST appellate proceedings.

Q10. Does this notification amend the CGST Act?

Answer:
No. The notification does not amend any provision of the CGST Act.
Instead, it exercises powers already available under Section 101A(1A) to operationalise the appellate mechanism. In simple terms, the law already permitted such empowerment, and this notification formally identifies the Principal Bench as the competent authority.
Related Resource:
GST Compliance: https://finodha.in/gst-compliance/