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Section 109 of the CGST Act: Constitution of GST Appellate Tribunal and Benches

Section 109 of the Central Goods and Services Tax Act, 2017 provides the statutory framework for the Goods and Services Tax Appellate Tribunal (GSTAT), including its Principal Bench, State Benches, composition, jurisdiction, allocation of business and hearing of appeals.

Important update: The earlier version of Section 109 referring to National, Regional, State and Area Benches is no longer the current provision. Section 109 was substituted by the Finance Act, 2023 with effect from 1 August 2023. It was further amended by the Finance (No. 2) Act, 2024 with effect from 27 September 2024, including provisions concerning matters under Section 171 and cases that may be assigned exclusively to the Principal Bench.
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Meaning and purpose of Section 109

Section 109 - Constitution of Appellate Tribunal and Benches thereof establishes the GST Appellate Tribunal as the appellate forum for appeals against orders of the Appellate Authority or Revisional Authority. In practical terms, GSTAT is the second appellate forum under the GST statutory structure, subject to the jurisdiction and special allocation rules contained in the Act.

The expression "Appellate Tribunal" in this context means the Goods and Services Tax Appellate Tribunal established under Section 109. The present statutory structure consists of a Principal Bench at New Delhi and State Benches constituted at notified places and with notified jurisdiction.

Section 109 of the CGST Act - current provision

Sub-section (1): Establishment of GSTAT. The Government, on the recommendations of the GST Council, is to establish by notification the Goods and Services Tax Appellate Tribunal from the specified date. It hears appeals against orders of the Appellate Authority or Revisional Authority and, where notified under Section 171(2), may conduct examination or adjudication of the matters referred to there.

Sub-section (2): Benches exercising Tribunal powers. The jurisdiction, powers and authority of the Appellate Tribunal are exercised through the Principal Bench and State Benches constituted under sub-sections (3) and (4).

Sub-section (3): Principal Bench. The Government is to constitute the Principal Bench at New Delhi. Its statutory composition is the President, one Judicial Member, one Technical Member (Centre) and one Technical Member (State).

Sub-section (4): State Benches. On a request from a State, the Government may constitute by notification the required number of State Benches at places and with jurisdiction recommended by the GST Council. The statutory composition is two Judicial Members, one Technical Member (Centre) and one Technical Member (State).

Sub-section (5): Cases heard by Principal and State Benches. Both the Principal Bench and State Benches hear appeals against orders of the Appellate Authority or Revisional Authority. However, a case involving an issue relating to place of supply is to be heard only by the Principal Bench. Matters referred to in Section 171(2), where applicable, are also to be examined or adjudicated only by the Principal Bench. The Government may additionally, on the recommendations of the Council, notify other cases or classes of cases to be heard only by the Principal Bench.

Sub-section (6): Distribution and transfer of business. Subject to the special allocation rules in sub-section (5), the President may distribute Tribunal business among Benches and transfer cases from one Bench to another by general or special order.

Sub-section (7): Vice-President for State Benches. The notified senior-most Judicial Member within the State Benches acts as Vice-President for those State Benches and exercises such powers of the President as may be prescribed, while otherwise continuing as a Member.

Sub-section (8): Single-Member and two-Member hearings. An appeal involving tax, input tax credit, fine, fee or penalty not exceeding Rs. 50 lakh and not involving a question of law may, with the President's approval and subject to prescribed conditions, be heard by a single Member. Other cases are heard together by one Judicial Member and one Technical Member.

Sub-section (9): Difference of opinion. Where Members differ on a point, the differing point is stated and the President refers it to another eligible Member in the manner specified by the provision. The point is decided according to the majority opinion, including the opinions of the Members who originally heard the case.

Sub-section (10): Transfer of Members. For administrative efficiency, the Government may, in consultation with the President, transfer Members from one Bench to another. A Technical Member (State) of a State Bench is subject to the special State-related restriction and consultation requirement stated in the provision.

Sub-section (11): Vacancy or defect. Tribunal proceedings are not invalid merely because of a vacancy or defect in the constitution of the Appellate Tribunal.

For authoritative statutory wording and amendment notes, refer to the current Central Goods and Services Tax Act, 2017 published on India Code.

Principal Bench and State Benches

Feature Principal Bench State Benches
Location New Delhi At places notified by the Government on the prescribed statutory basis
Statutory composition President, one Judicial Member, Technical Member (Centre), Technical Member (State) Two Judicial Members, Technical Member (Centre), Technical Member (State)
Place-of-supply cases Exclusive jurisdiction Not heard where a place-of-supply issue attracts the statutory exclusive jurisdiction of the Principal Bench
Other appeals May hear in accordance with Section 109 and allocation of business Hear appeals within their notified jurisdiction and allocation of business

Jurisdiction of GSTAT under Section 109

Section 109 must be read with the appeal provisions in Chapter XVIII of the CGST Act. Appeals to the Tribunal are principally governed by Section 112 - Appeals to Appellate Tribunal. Section 109 determines the institutional structure and which Bench may exercise the Tribunal's jurisdiction.

Place of supply: If any issue in the case relates to place of supply, Section 109 assigns the case to the Principal Bench. This is important because place-of-supply questions can affect whether a transaction attracts CGST/SGST or IGST and can involve inter-State GST consequences.

The Finance (No. 2) Act, 2024 also expanded the statutory role of the Principal Bench in relation to matters under Section 171, and enabled the Government, on the GST Council's recommendations, to notify other cases or classes of cases for exclusive hearing by the Principal Bench.

Composition of Benches and manner of hearing

Although Section 109 specifies the overall statutory composition of the Principal Bench and State Benches, every appeal is not necessarily heard by all Members attached to a Bench. Under sub-section (8), eligible lower-value matters that do not involve a question of law may be heard by a single Member, while other cases are heard by one Judicial Member and one Technical Member.

The Rs. 50 lakh threshold in sub-section (8) applies to the tax or input tax credit involved, or the fine, fee or penalty determined in the order under appeal. The single-Member route also requires that the appeal does not involve a question of law and remains subject to the approval of the President and applicable prescribed conditions.

Difference of opinion, transfer of cases and validity of proceedings

Section 109 contains a mechanism to resolve a split opinion between Members. The disputed point is referred for hearing to another Member in accordance with sub-section (9), and the majority view governs. The President also has statutory authority, subject to Section 109(5), to distribute business and transfer cases between Benches.

For continuity of Tribunal functioning, sub-section (11) protects proceedings from being challenged merely because a vacancy exists or there is a defect in the constitution of the Tribunal. This provision does not dispense with substantive jurisdictional requirements; it addresses invalidity alleged merely on the stated ground of vacancy or defect.

Current GSTAT position

The GST Appellate Tribunal is now operational through its Principal Bench and notified State Benches. The official GSTAT portal provides information on Benches, cause lists, case status, orders, notices and user guidance, while a separate official e-filing portal supports electronic filing of Tribunal proceedings.

For legal research, the current statutory text should be checked against the latest version of the CGST Act and applicable notifications. Tribunal procedure, filing requirements and operational directions may also change through rules, notifications and Presidential or administrative orders.

The following provisions are directly relevant to the appellate framework:

Key takeaway

Section 109 now creates a simplified GSTAT structure centred on the Principal Bench at New Delhi and State Benches. The current provision replaces the earlier National/Regional/State/Area Bench model. The Principal Bench has exclusive statutory responsibility for specified categories, including cases involving place-of-supply issues, while the President manages allocation and transfer of Tribunal business subject to the Act.

Updated: 15 September 2026. This page is intended as a legal information resource. For filing, limitation, jurisdiction or litigation strategy, verify the latest Act, Rules, notifications and GSTAT orders applicable to the particular case.