Facts of the Case:

The petitioner challenged the order passed by the Joint Commissioner, CGST (Appeals), NOIDA. While partly deciding the appeal, the Appellate Authority remanded the matter back to the Adjudicating Authority to reconsider the issue of place of supply and to decide afresh after calling for further documents.

The petitioner argued that such a remand was impermissible under Section 107(11) of the CGST Act, 2017, which expressly bars the appellate authority from referring the case back to the adjudicating authority.

Issue:

Whether the Appellate Authority under Section 107(11) of the CGST Act, 2017 has the power to remand the matter back to the Adjudicating Authority for fresh adjudication?

Held:

The Court noted that Section 107(11) of the CGST Act permits the Appellate Authority to confirm, modify or annul the decision or order under challenge but specifically prohibits remanding the case back to the Adjudicating Authority. However, the impugned order’s latter part, remitting the matter back, was contrary to the statutory mandate.

The Court further noted that the Appellate Authority failed to properly apply Section 107(11) while passing directions for remand. Relying on Kronos Solutions (Allahabad HC, DB), the Court reiterated that no inherent or residuary power to remand can be read into Section 107(11).

The Court held that the Appellate Authority under Section 107(11) of the CGST Act cannot remand matters back to the Adjudicating Authority. Its jurisdiction is confined to either confirming, modifying, or annulling the impugned order. Any order of remand is ultra vires and unsustainable.

Consequently, the latter portion of the order dated 27.09.2023 directing remand was set aside.

The matter was directed to be decided by the Appellate Authority itself in accordance with law.

Case Name: M/s Anand And Anand (Law Firm) Versus Principal Commissioner Central Goods And Services And 2 Others dated 04.09.2025

To read the complete judgment 2025 Taxo.online 2222