Filing an Appeal in GST: Step-by-Step Process Explained

Filing an Appeal in GST: A Comprehensive Guide

Any individual aggrieved by an order issued by an adjudicating authority has the right to file an appeal under the Goods and Services Tax (GST) regulations before the First Appellate Authority.

Understanding the Adjudicating Authority

The Adjudicating Authority is the official who issues the order or decision that can be appealed.

Identifying the First Appellate Authority

The First Appellate Authority varies based on the tier of the Adjudicating Authority involved:

1. Commissioner (Appeals): Applies when the adjudicating authority is either the Additional or Joint Commissioner.
2. Joint Commissioner (Appeals): Relevant when the adjudicating authority is the Deputy Commissioner, Assistant Commissioner, or Superintendent.

Orders Eligible for Appeal

Individuals may file an appeal against the following types of orders:

• Enforcement Orders
• Assessment or Demand Orders
• Registration Orders
• Refund Orders
• Assessment Non-Demand Orders
• LUT (Letter of Undertaking) Orders

Filing a GST Appeal

To initiate an appeal, the concerned individual must:

• Complete Form GST APL-01.
• Attach the relevant documents.

Once the appeal is filed, a provisional acknowledgment is issued immediately. The final acknowledgment, which includes the appeal number, will be provided in Form GST APL-02 after the manual submission of Form GST APL-01, a copy of the order being contested, and a statement of facts and grounds of appeal within seven days of receiving the provisional acknowledgment.

Time Limits for Filing an Appeal

The appeal must be submitted within three months of the order's communication by the adjudicating authority. The provisions for condonation of delay allow for an additional month to file the appeal, provided justifiable reasons and appropriate evidence for the delay are presented.

Appeal Fee Structure

Generally, no appeal fee is charged.

Pre-Deposit Requirements Before Filing an Appeal

When filing an appeal, a specified amount must be deposited:

1. For amounts admitted: 100% of the applicable tax, interest, fines, fees, and penalties.
2. For disputed amounts: 10% of the tax in dispute, capped at a maximum of twenty-five crore rupees.

In the case of orders regarding detention or seizure, 25% of the specified penalty needs to be paid.

Adjournment of Hearing

The appellate authority is permitted to grant an adjournment of the hearing up to three times, provided sufficient cause is shown at any stage during the hearing.

Timeframe for Deciding Appeals

Every appeal should ideally be resolved within one year from the filing date, contingent upon the authority's capabilities.

Adding Grounds of Appeal

Additional grounds of appeal may be permitted during the hearing if the authority deems that the omission was neither wilful nor unreasonable.

Refund of Pre-Deposit

If a pre-deposit is to be refunded following the appellate authority’s order, the taxpayer may submit a refund application. The pre-deposit amount will be refunded with interest from the date of payment until the date of refund.

Dissatisfaction with the First Appellate Authority's Order

If an individual remains dissatisfied with the ruling of the First Appellate Authority, they have the option to appeal before:

1. The National Appellate Tribunal
2. The High Court
3. The Supreme Court