Section 168 of CGST Act - Power to Issue Instructions or Directions
Section 168 of the Central Goods and Services Tax Act, 2017 empowers the Central Board of Indirect Taxes and Customs (CBIC) to issue orders, instructions or directions to secure uniform implementation of the CGST Act by central tax authorities.
Text and meaning of Section 168
Section 168(1). The Board may, when it considers it necessary or expedient for uniform implementation of the Act, issue orders, instructions or directions to central tax officers. The officers and other persons employed in implementing the Act are required to observe and follow them.
Section 168(2). For the provisions specifically listed in sub-section (2), the expression "Commissioner" means a Commissioner or Joint Secretary posted in the Board, who exercises the relevant powers with the approval of the Board.
What does Section 168(1) do?
The purpose of sub-section (1) is administrative consistency. GST is implemented through a large field formation, and Section 168 authorises CBIC to issue directions so that central tax officers follow a uniform approach when administering the CGST Act.
CBIC circulars frequently state that they are issued in exercise of the power under Section 168(1) to clarify implementation issues. Such circulars are therefore important administrative guidance for departmental officers. Taxpayers should, however, read a circular together with the CGST Act, the CGST Rules and applicable notifications.
Who is the "Board"?
For practical GST administration, the Board is the Central Board of Indirect Taxes and Customs (CBIC), Department of Revenue, Ministry of Finance. CBIC publishes GST Acts, rules, notifications, circulars, orders and other official material on its GST portal.
Current scope of Section 168(2)
The list in Section 168(2) has been amended since the original enactment. The current provision should therefore be read from the latest amended CGST Act rather than from an older reproduction of the section. In particular, amendments have altered the cross-references relating to annual return, tax collected at source, job work and collection of statistics.
| Provision | Subject relevant to Section 168(2) |
|---|---|
| Section 2(91) | Definition of "proper officer" |
| Section 5(3) | Delegation of powers by Commissioner |
| Section 25(9)(b) | Special registration-related power |
| Section 35(3) and (4) | Accounts and records related powers |
| Section 37(1), Section 38(2), Section 39(6) | Specified return and statement related powers |
| Section 44 | Annual return |
| Section 52(4) and (5) | Tax collection at source statements |
| Section 143(1), subject to the statutory exception | Job work procedure |
| Section 158(3)(l) and Section 167 | Disclosure-related provision and delegation of powers |
Why CBIC circulars under Section 168 matter
Section 168 is the statutory basis cited in many CBIC GST circulars that seek to bring uniformity to departmental implementation. Examples include circulars dealing with returns, refunds, adjudication and procedural clarifications. For the latest position on a particular GST issue, users should check whether a later circular, notification, amendment or judicial decision has changed the earlier guidance.
Related CGST Act provisions
- Section 167 - Delegation of powers
- Section 169 - Service of notice in certain circumstances
- Section 170 - Rounding off of tax, etc.
- Central Goods and Services Tax Act, 2017 - section index
Frequently asked questions
What is the object of Section 168 of the CGST Act?
Its principal object is to promote uniform implementation of the CGST Act by empowering CBIC to issue administrative orders, instructions and directions to central tax officers.
Are Section 168 instructions relevant to taxpayers?
Yes. Although sub-section (1) directly requires tax officers and other persons employed in implementation of the Act to follow the Board's directions, the circulars and instructions can materially affect how GST provisions are administered in practice.
Where can the latest CBIC GST circulars be checked?
The official CBIC GST circulars and orders page should be checked for current departmental circulars, clarifications and orders. The official GST Acts page is useful for statutory material.