The Allahabad High Court has quashed appellate orders dismissing appeals for non-prosecution, holding that Section 107(12) of the CGST/UPGST Act mandates that the order of the Appellate Authority disposing of the appeal shall be in writing and shall state the points for determination, the decision thereon and the reasons for such decision — a requirement that is not satisfied by a mechanical dismissal on the ground of non-prosecution. The ruling by Justice Piyush Agrawal in Writ Tax Nos. 1417 and 1418 of 2026 (M/s Good Grain Foods, decided 21.09.2026) holds that Section 107 does not empower the Appellate Authority to dismiss an appeal merely on the ground of non-prosecution, and that such dismissal amounts to abdication of statutory powers.
The petitioner’s appeal against a penalty of Rs. 1,24,89,321 under Section 122(1)(ii)(vii) had been dismissed solely on the ground of lack of prosecution, without framing any points of determination and without a reasoned and speaking decision on the merits of the case. The court observed that reasons are a live link between the narrative and the directive, and absence thereof renders the order a nullity. The matter was remanded for fresh consideration on merits after opportunity of hearing.
- 2026-juristway.com-2594-HC(Allahabad)-GST | High Court of Allahabad | Writ Tax Nos. 1417 & 1418 of 2026 | 21.09.2026