Union Territory Goods and Services Tax Act, 2017 | Chapter IX - Miscellaneous

Section 25 UTGST Act - Power to Issue Instructions and Directions

Section 25 of the Union Territory Goods and Services Tax Act, 2017 empowers the Commissioner to issue administrative orders, instructions and directions to secure uniform implementation of UTGST law. The provision also requires Union territory tax officers and other persons engaged in implementation to follow those directions.

Section 25 - Statutory text

The Commissioner may, if he considers it necessary or expedient so to do for the purpose of uniformity in the implementation of this Act, issue such orders, instructions or directions to the Union territory tax officers as he may deem fit, and thereupon all such officers and all other persons employed in the implementation of this Act shall observe and follow such orders, instructions or directions.

Meaning and scope of Section 25

Who may issue instructions?

The power belongs to the Commissioner, a term defined in Section 2 of the UTGST Act. It enables the Commissioner to guide administration where consistent treatment of taxpayers and uniform application of the law are necessary or expedient.

What may the Commissioner issue?

Section 25 expressly covers orders, instructions and directions addressed to Union territory tax officers. Such administrative guidance may deal with the implementation of the Act, including common procedures and consistent departmental interpretation. It does not itself confer a power to amend the Act, impose a new tax or override binding statutory provisions or judicial decisions.

Who must comply?

Once issued under Section 25, the directions must be observed by Union territory tax officers and all other persons employed in implementing the Act. The provision concerns the administration of tax law; it should not be confused with a separate power to issue binding legislative rules or regulations, nor does it automatically make an instruction a new obligation for every taxpayer.

Section 22 authorises the Central Government, on GST Council recommendations, to make rules by notification. Section 23 authorises the Board to make regulations consistent with the Act and rules. Section 24 requires prescribed parliamentary scrutiny of rules, regulations and notifications. In contrast, Section 25 concerns the Commissioner's administrative directions to officers and implementing personnel.

Section 21 applies specified CGST Act provisions to UTGST, with necessary modifications. For central-tax administrative guidance, Section 168 of the CGST Act separately addresses instructions or directions for uniformity, subject to its own wording and conditions. A circular or instruction must be read in its applicable statutory and jurisdictional context.

Practical implications

Tax officers should identify the issuing authority, date, reference number and scope of any relevant instruction, and consider subsequent clarifications or withdrawals. Taxpayers reviewing a departmental circular should check whether it reflects the Act, rules, notifications and current judicial interpretation. If an instruction conflicts with a higher legal authority, the statute and binding judicial rulings govern.

Official legislation and circulars

Consult the UTGST Act, 2017 (India Code), CBIC Tax Information Portal for updated circulars, notifications and legislative material, and the CBIC GST portal for official GST guidance. Check the date and subsequent status of any circular before relying on it.

Reviewed 6 October 2026. The statutory text above preserves the supplied Section 25 provision.