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Section 8A of the UTGST Act, 2017

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GST›UTGST Act, 2017

At a glance

Entitlement and conditions

Section 8A(a)The Government must be satisfied that a practice concerning levy or non-levy of Union territory tax was or is generally prevalent.
Section 8A(b)The supplies must attract Union territory tax that the practice did not levy, or a higher amount than the practice levied.

Procedure, powers and definitions

Section 8A, concluding paragraphDespite other provisions of the Act, the Government can issue a Gazette notification on the Council’s recommendation directing non-payment of the whole tax or the excess attributable to the practice.

Section 8A gives the Government a power to direct non-recovery where a generally prevalent levy practice resulted in UTGST not being levied or being short-levied. The Government must be satisfied about the practice and the difference from the statutory levy. Relief depends on a Gazette notification on the Council’s recommendation; the section itself does not identify supplies covered by a direction.^[1]

Quick facts

Section 8A, UTGST Act, 2017

Power not to recover Goods and Services Tax not levied or short-levied as a result of general practice

Provision
Act	Union Territory Goods and Services Tax Act, 2017
Section title	Power not to recover Goods and Services Tax not levied or short-levied as a result of general practice
Amendments
Amendments	1 footnote in the CBIC text (table)
Related provisions
Sections	2, 8, 9
Structure 8AActual nonpayment direction 8A(b)(i)Whole-tax nonlevy amount 8A(b)(ii)Short-levy excess amount
Source
Law text	CBIC tax information portal, served on 17 September 2026^[1]

Text

The text below is the section as served by the CBIC tax information portal on 17 September 2026, with the portal's own amendment footnote markers (shown as small numerals before a bracket) and its footnotes.^[1] The Act as published in the Gazette of India is the legal source.

Section 8A, verbatim (show)

Section 8A

¹[Section 8A. Power not to recover Goods and Services Tax not levied or short-levied as a result of general practice.-

Notwithstanding anything contained in this Act, if the Government is satisfied that––

(a) a practice was, or is, generally prevalent regarding levy of Union territory tax (including non-levy thereof) on any supply of goods or services or both; and

(b) such supplies were, or are, liable to––

(i) Union territory tax, in cases where according to the said practice, Union territory tax was not, or is not being, levied; or

(ii) a higher amount of Union territory tax than what was, or is being, levied, in accordance with the said practice,

the Government may, on the recommendation of the Council, by notification in the Official Gazette, direct that the whole of the Union territory tax payable on such supplies, or, as the case may be, the Union territory tax in excess of that payable on such supplies, but for the said practice, shall not be required to be paid in respect of the supplies on which the Union territory tax was not, or is not being, levied, or was, or is being, short-levied, in accordance with the said practice.]

1. Inserted by section 156 of The Finance Act (No. 2) Act, 2024 No. 15 of 2024 dated 16.08.2024.

Questions to answer on the file

Questions a reviewer answers from the engagement file, grouped by the part of the section they come from. They describe what the section asks; they do not decide it.

Actual nonpayment direction 8A

Questions to answer on the file7 questions

Does the proper Government actually hold the specified prevalent-practice satisfaction?
Does that Government actually hold the specified nonlevy or short-levy satisfaction?
Has the proper Government actually directed the non-payment?
Was the Government instrument made on Council recommendation?
Was the direction notification published in the Official Gazette?
Was this supply levied or not levied in accordance with that practice?
Does the actual direction cover this supply and period?

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Whole-tax nonlevy amount 8A(b)(i)

Questions to answer on the file3 questions

Was no UT tax levied on this supply in accordance with that practice?
What UT tax is independently established as otherwise payable on this supply?
What amount is proposed under the actual direction for this supply?

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Short-levy excess amount 8A(b)(ii)

Questions to answer on the file3 questions

What UT tax is independently established as otherwise payable on this supply?
What UT tax was levied under the practice on this supply?
What amount is proposed under the actual direction for this supply?

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Amendment history

The CBIC text carries 1 footnote. The table gives each in the source's own terms. Effective dates are as the footnotes state them.^[1]

Amendments to section 8a as footnoted in the CBIC text
Note	Change
1	Inserted by section 156 of The Finance Act (No. 2) Act, 2024 No. 15 of 2024 dated 16.08.2024.^[2]

Provisions connected to Section 8A
Provision	Connection	Words that tie them
Section 2	this provision defined Government Section 2	8A "the Government"

Circulars and notifications

No circular or notification in the CBIC repository is recorded as citing this section.

See also

Section 2 of the UTGST Act, 2017: definitions
Section 8 of the UTGST Act, 2017: power to grant exemption from tax
Section 9 of the UTGST Act, 2017: payment of tax

References

Central Board of Indirect Taxes and Customs. "Section 8A. Power not to recover Goods and Services Tax not levied or short-levied as a result of general practice". Union Territory Goods and Services Tax Act, 2017, CBIC tax information portal, with amendment footnotes 1 to 1. Retrieved 17 September 2026.
The Finance Act (No. 2) Act, 2024. Cited in CBIC footnote 1.

External links

UTGST Act, 2017, Section 8A on the CBIC tax information portal