Kerala to Become the First State to Launch Faceless Adjudication System in India

The State Goods and Services Tax (SGST) department in Kerala has introduced a pilot for a ‘faceless adjudication‘ system from August 1, 2025, i.e., today. Under this system, the taxpayer and tax officials will not have to meet in person. Instead, the entire process, from receiving a notice to replying, attending hearings, and getting the final decision, will happen online through digital platforms.

The Faceless Adjudication System will be piloted in Pathanamthitta and Idukki districts, making Kerala the first state in India to introduce it for indirect taxes.

The plan was first announced by Finance Minister K.N. Balagopal during the 2025 state budget. Under this system, the taxpayers will not have to go to the GST office. In case a show-cause notice is issued to any individual, they can submit their reply via the GST portal and participate in hearings via online video meetings. Supporting documents can also be submitted online. The goal is to make tax decisions fair, transparent, and free from personal bias.

This new system focuses on promoting transparency and efficiency by removing the need for physical interaction between the taxpayer and authorities.