Proper GST Officer under Section 122: A Jurisdictional Analysis

Key Points:

• The CBIC issued Circular No. 254/11/2025-GST on October 27, 2025, appointing proper officers under the CGST Act, explicitly stating no proper officer was designated for Section 122 prior to this date.
• Taxpayers received penalty notices under Section 122 before the circular's issuance, raising questions about their validity due to the lack of jurisdictional authority.
• Courts have consistently ruled that circulars cannot retrospectively validate proceedings initiated by unauthorized officers, emphasizing the importance of proper officer designation in tax matters.

Background: The Central Board of Indirect Taxes and Customs (CBIC) oversees the implementation of the Goods and Services Tax (GST) in India. The recent circular clarifies the appointment of proper officers under various sections of the CGST Act, particularly addressing issues arising from penalties imposed without proper jurisdiction from July 2017 to October 2025.

What's Next: Taxpayers may seek relief through judicial review of past penalty orders, while tax authorities may need to reissue notices under Section 122 within prescribed time limits if previous notices are deemed invalid.