National Litigation Policy and CGST Act: Simplified Guide

Purpose: The National Litigation Policy aims to use judicial resources wisely and resolve pending cases quickly by setting thresholds for filing appeals in Revenue matters. Section 120 CGST Act: Grants the Central Board of Indirect Taxes & Customs (CBIC) power to set monetary limits for tax authorities' appeals.

Monetary Limits: GSTAT: ₹20,00,000/- High Court: ₹1,00,00,000/- Supreme Court: ₹2,00,00,000/- Appeal Principles: Consider tax amount for tax disputes. Consider interest, penalty, or late fee amounts separately. In composite orders, use the total disputed amount.

Exclusions: Constitutional issues. Rules/regulations deemed ultra vires. Recurring issues involving law interpretation. Adverse comments or costs against the government. Cases in the interest of justice or revenue. Case Decisions: Appeals should not be filed based solely on exceeding monetary limits but must be decided on merit.

Non-Precedent: Cases where no appeal is filed due to monetary limits do not set a precedent. Court Notification: Ensure GSTAT or Courts are informed if appeals weren't filed solely due to monetary limits.