Section 114 at a glance
Section 114 is a short institutional provision. Unlike Sections 112 and 113, it does not deal with the merits of a taxpayer's appeal. It deals with the financial and administrative functioning of the Appellate Tribunal.
Why is Section 114 included in the GST Act?
The GST Appellate Tribunal is a statutory adjudicatory institution. It needs more than legal authority to hear and decide appeals. It also requires an administrative structure through which its benches, officers, staff, resources and day-to-day institutional functions can operate.
Section 114 addresses that institutional side of GSTAT. It places the relevant financial and administrative authority with the President, subject to the framework prescribed under law.
Statutory provision — Section 114
114. Financial and administrative powers of President.— The President shall exercise such financial and administrative powers over the Appellate Tribunal as may be prescribed.
The current Section 114 is deliberately concise. It does not contain a separate sub-section, and it does not itself enumerate a complete list of individual financial or administrative powers.
Section 114 explained in simple language
1The President has an institutional role
The word “President” in Section 114 refers to the President of the GST Appellate Tribunal. The provision concerns the management and administration of the Tribunal as an institution rather than the adjudication of an individual GST demand.
2Two broad categories of authority
| Category | Simple meaning | Illustrative subject matter |
|---|---|---|
| Financial | Authority connected with the financial functioning of the Tribunal. | Budgetary and expenditure-related institutional matters, subject to the applicable prescribed framework. |
| Administrative | Authority connected with the organisation and day-to-day functioning of the Tribunal. | Institutional administration, coordination, staffing-related administration and functioning of Tribunal offices, subject to applicable law. |
3Meaning of “as may be prescribed”
This phrase is particularly important. Section 114 does not say that the President may exercise unlimited financial and administrative powers in any manner. It says that the President shall exercise such powers as may be prescribed.
In practical terms, the section creates the statutory basis for the President's financial and administrative role, while the detailed framework is to be determined through the applicable prescribed legal and administrative instruments.
4Section 114 is not an appeal provision
A taxpayer does not file an appeal under Section 114. It does not determine whether GST demand, ITC, refund, interest or penalty is legally payable in an individual case.
Those questions arise under the substantive tax provisions and the appellate provisions. Section 114 instead concerns the Tribunal's institutional administration.
Important amendment — what changed in 2023?
Section 114 was substituted by the Finance Act, 2023, with effect from 1 August 2023. This is essential when reading older GST books, websites or notes because older versions of Section 114 contain substantially more wording.
The original Section 114 contained a reference to the President's financial and administrative powers over the National Bench and Regional Benches, together with an express provision concerning delegation to Members or officers.
The Finance Act, 2023 substituted Section 114.
The current provision came into effect. The detailed old wording referring to National and Regional Benches and the express delegation proviso was removed from the section.
The provision states simply that the President shall exercise such financial and administrative powers over the Appellate Tribunal as may be prescribed.
| Earlier Section 114 | Current Section 114 |
|---|---|
| Referred specifically to the National Bench and Regional Benches. | Refers broadly to the Appellate Tribunal. |
| Contained an express proviso permitting delegation of specified financial and administrative powers to a Member or officer, subject to the President's direction, control and supervision. | The current section does not reproduce that delegation proviso. |
| Longer provision with institutional detail. | Short provision leaving the detailed framework to what is prescribed. |
What does “financial and administrative powers” cover?
Section 114 itself does not provide an item-by-item catalogue. The following explanation is therefore best understood as a functional explanation of the two categories rather than as a claim that every item is independently granted by the bare text of Section 114.
Institutional financial matters needed for the Tribunal's functioning, subject to the prescribed governmental and financial framework.
Institutional management required for the Tribunal and its offices to function within the applicable legal and administrative framework.
Administrative handling of institutional resources, facilities and support systems as permitted under the applicable framework.
Coordination necessary for the functioning of the Tribunal's institutional structure, subject to the authority actually conferred by the applicable rules and directions.
What Section 114 does NOT mean
- It does not give the President power to rewrite GST law.
- It does not permit the President to decide tax appeals according to administrative preference.
- It does not replace the statutory appellate provisions in Sections 112 and 113.
- It does not itself prescribe every expenditure limit, service condition or administrative procedure.
- It does not mean that every administrative decision is outside the applicable rules, government framework or judicial review.
Section 114 and the independence of adjudication
There is an important conceptual distinction between administration and adjudication.
| Administrative side | Adjudicatory side |
|---|---|
| How the institution is organised and supported. | How an individual appeal is heard and decided. |
| Financial and administrative powers are addressed by Section 114. | Appeals and Tribunal orders are primarily addressed by Sections 112 and 113. |
| Institutional management operates within the prescribed framework. | Orders must be based on the applicable law, record, submissions and judicial procedure. |
This distinction helps explain why Section 114 does not contain provisions about tax demand, ITC eligibility, classification, valuation or penalty. Those are substantive or adjudicatory questions dealt with elsewhere in the GST framework.
Practical examples
Example 1 — Budget-related institutional matter
Suppose GSTAT requires expenditure for office infrastructure, technology, records management or other institutional requirements. The financial side of administering such expenditure falls within the broader category of financial administration. The actual approval process, limits and source of authority must follow the applicable prescribed government and financial framework.
Example 2 — Administrative arrangement for a Tribunal office
Suppose a Tribunal office requires an administrative arrangement for staff, records, support services or office operations. Such matters are examples of the type of institutional administration that Section 114 addresses at a broad statutory level.
Example 3 — What Section 114 cannot decide
A taxpayer has a ₹30 lakh GST demand pending before GSTAT. Whether ₹30 lakh is legally payable is not decided under Section 114. The appeal is governed by the applicable appellate provisions, including Sections 112 and 113 and the relevant procedural framework.
Example 4 — Administrative decision versus tax decision
Suppose an administrative instruction determines how an office should organise files. That is an institutional matter. If a Tribunal decides whether a taxpayer is entitled to ₹30 lakh of ITC, that is an adjudicatory matter. Section 114 should not be read as transferring the second type of decision into a general administrative power.
Example 5 — Old versus current text
A 2021 GST reference book reproduces the old Section 114 and says that the President may delegate specified financial and administrative powers to a Member or officer. A reader using that material in 2026 should check the amendment history because the current Section 114 was substituted from 1 August 2023 and no longer contains that old delegation proviso in its text.
Detailed practical application for professionals
1. Why this short section still matters
Section 114 contains only one sentence in its current form, but it performs an institutional function. The GSTAT cannot operate merely as a collection of judicial powers. It needs an administrative structure, financial management and institutional coordination.
2. Why the phrase “as may be prescribed” matters for research
When researching a question under Section 114, stopping at the bare Act may not answer the complete practical question. The correct research sequence is:
- Read the current Section 114.
- Check the amendment history and commencement date.
- Identify the applicable rules and statutory framework governing GSTAT.
- Check relevant notifications, government orders or institutional directions where the issue concerns a specific administrative action.
- Only then determine the precise scope of the power in the particular situation.
3. A useful legal-research example
Assume a professional is asked: “Does the President have authority to take a particular administrative action involving a GSTAT office?”
A proper answer cannot be derived merely by saying “Section 114 gives the President all powers.” The current provision does not use those words. Instead, the professional should identify:
- what the proposed action actually is;
- whether it is financial, administrative, judicial or mixed in character;
- what current rule or other prescribed framework governs that action;
- whether any government approval is required;
- whether a specific notification or delegation exists; and
- whether the action affects an individual appeal in a way governed by the Tribunal's adjudicatory provisions.
4. Why the 2023 amendment matters for compliance teams
GST legal libraries often contain archived versions of the CGST Act. If a compliance team copies an old Section 114 into an internal note without checking its effective date, the note may describe powers or bench terminology that no longer appears in the current statutory text.
5. Section 114 should be read with the surrounding GSTAT provisions
| Provision | Subject | Connection with Section 114 |
|---|---|---|
| Section 109 | Constitution of Appellate Tribunal and Benches | Provides the institutional framework in which the Tribunal functions. |
| Section 110 | President and Members | Deals with appointment, qualifications and service-related matters. |
| Section 111 | Procedure before Appellate Tribunal | Deals with the procedural side of Tribunal proceedings. |
| Section 112 | Appeals to Appellate Tribunal | Deals with the appeal mechanism. |
| Section 113 | Orders of Appellate Tribunal | Deals with how appeals are disposed of. |
| Section 114 | Financial and administrative powers | Deals with the institutional administrative/financial side of GSTAT. |
| Section 115 | Interest on refund of appeal amount | Deals with refund consequences of appellate orders. |
| Section 116 | Authorised representative | Deals with representation before GST authorities and Tribunal. |
6. Current versus historical wording — a quick test
If an article about Section 114 contains the phrases “National Bench and Regional Benches” and an express paragraph allowing the President to delegate powers to another Member or officer, that article may be reproducing the pre-1 August 2023 wording. The effective date should be checked before relying on it for current CGST law.
Section 114 — financial vs administrative powers
| Question | How to understand it |
|---|---|
| Who? | President of the Appellate Tribunal. |
| What? | Such financial and administrative powers as may be prescribed. |
| Over whom/what? | The Appellate Tribunal as an institution. |
| Is the list exhaustive in Section 114? | No. The current section itself does not enumerate every individual power. |
| Is it an appeal provision? | No. |
| Does it decide taxpayer liability? | No. Tax disputes are decided through the applicable adjudicatory provisions. |
| Was it amended? | Yes. Finance Act, 2023 substituted the section with effect from 1 August 2023. |
Section 114 — practical checklist
- Use the current substituted text, not the pre-2023 wording.
- Remember that the current section refers broadly to the Appellate Tribunal.
- Do not treat Section 114 as a power to decide the merits of taxpayer appeals.
- For a specific administrative action, identify the applicable prescribed framework before drawing a conclusion.
- Check whether a rule, notification, government order or institutional direction governs the particular issue.
- When reviewing older legal material, verify whether it predates 1 August 2023.
- Read Sections 109–116 together for the broader GSTAT institutional framework.
Frequently Asked Questions
What is Section 114 of the CGST Act?
Section 114 deals with the financial and administrative powers of the President of the Appellate Tribunal. The current provision says that the President shall exercise such financial and administrative powers over the Appellate Tribunal as may be prescribed.
Is Section 114 about GST appeals?
Not directly. Sections 112 and 113 primarily deal with appeals to the Appellate Tribunal and orders of the Tribunal. Section 114 concerns the Tribunal's institutional financial and administrative framework.
What does “as may be prescribed” mean?
It means the section does not itself provide a complete list of every financial and administrative function. The detailed scope has to be identified from the applicable prescribed legal and administrative framework.
Was Section 114 amended?
Yes. Finance Act, 2023 substituted Section 114 with effect from 1 August 2023. The current provision is substantially shorter than the earlier wording.
What did the old Section 114 contain?
The earlier provision referred to the National Bench and Regional Benches and included an express delegation proviso concerning Members or officers acting under the President's direction, control and supervision.
Can I rely on an old GST book for Section 114?
It can be useful for historical context, but the wording must be checked against the amendment effective from 1 August 2023 before applying it to a current matter.
Does Section 114 give the President unlimited administrative power?
No such conclusion follows from the text alone. The current provision is expressly subject to what is prescribed. The precise scope of a particular administrative action must therefore be determined from the applicable legal framework.
Section 114 — quick revision
PresidentFinancial powersAdministrative powersAppellate TribunalAs prescribed2023 amendment
Memory line: Section 114 = President + financial/administrative powers + Appellate Tribunal + powers as prescribed.
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This page is provided for educational and workflow-support purposes. GST provisions, rules, notifications, circulars and judicial interpretation may change and may apply differently depending on the relevant tax period and facts. Before relying on this material for compliance, litigation or any financial/legal decision, verify the provision and applicable amendments, rules, notifications, circulars and other official material for the relevant date.