The Central Board of Indirect Taxes and Customs (CBIC) has issued a circular addressing concerns about the validity of GST proceedings initiated before a taxpayer migrates to a new jurisdiction. When a registered taxpayer changes their Principal Place of Business, thereby moving from one GST jurisdiction to another, questions often arise regarding the continuity and validity of ongoing proceedings.

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The circular clarifies that the jurisdiction of an officer is determined based on the date when the statutory power is exercised. This means that any action initiated or completed by the initial jurisdictional officer remains valid, even if the taxpayer subsequently migrates to a different jurisdiction. Such actions include investigations, audits, issuance of show cause notices, adjudication orders, review orders, and appeals.

Once the taxpayer has migrated, the new jurisdictional authority assumes responsibility for any further actions. This includes implementing and acting upon proceedings initiated by the former jurisdiction, as the previous officer no longer has authority over the taxpayer. If any new issues arise after the migration, the former jurisdiction must inform the new authority, which will then handle the matter.

If the migration occurs while proceedings are still pending, the new jurisdictional authority will take over from the current stage, completing the proceedings and managing any related actions such as representation, defense, further proceedings, and filing appeals. This ensures a seamless transition and continuity of legal processes across different GST jurisdictions.