GST Appeals

By Registrationwala

2nd May 2017


 An appeal under any law is a formal request or is an application to a higher court to re-examine the decision of a lower court, administrative agency, or any other body. Generally an appeal arises when there are any legal disputes. It is generally raised by the party who loses or did not get all the relief sought whereas if both the parties are not satisfied each may appeal part of the decision.

What are Disputes?

Disputes is GST arises when Tax Law or any other law impose obligations. Such obligations are comprehensively of two sorts:-

  • Tax Related
  • Procedure Related

The citizen's consistence with these obligations is checked by the tax officer through audit, examination, anti-evasion etc. Now and again there are circumstances of real or perceived non-compliance. In the event that the distinction in perspectives endures, it results into a dispute which is then required to be solved.

The initial resolution of this dispute is finished by a departmental officer by a semi-legal process coming about into the issue of an underlying request known by different names as assessment order, adjudication order, order in original etc.

GST Act Model defines the phrase “adjudicating authority” as any authority competent to pass any order or decision under this Act but does not include the Board, the First Appellate Authority and the Appellate Tribunal. Thus, in a way, any decision or order passed under the Act is an act of “adjudication”.

A few cases are: - cancelation of registration, best judgment assessment, decision on a refund claim, burden of a punishment.

Steps of appeals under GST

Generally 4 simple steps are followed under GST Appeal:-

Rules for Filing GST Appeals

All appeals must be made in the prescribed FORMS alongside the required expenses. The Fees will be complete amount of tax, interest, fine charge and penalty emerging from the challenged order as admitted by appellant and -10% of the disputed amount. For Serious cases, i.e., disputed tax liability is over 25 crores, the tax authorities can demand a higher pre-deposit up to 25% of the disputed tax amount. In situations where an officer or the Commissioner of GST is engaging then expenses won't be applicable.

Can an authorized representative show up in court?

Yes,any individual required to show up before a GST Officer/First Appellate Authority/Appellate Tribunal can assign an authorized representative to show up on his behalf unless he is required by the Act to show up actually. An Authorized representative can be:-

  • Relative
  • Regular Employee
  • Lawyer practicing in any court in India
  • Any Charted Accountant, Cost Accountant, Company Secretary with a valid practice certificate
  • Retired Officer of the Tax Department of any State or the Excise Department whose minimum rank was Group-B Gazetted officer.
  • Any Tax Return preparer

NOTE:-Retired Officer cannot appear for the concerned individual inside 1 year from the date of their retirement.

Cases where Appeal cannot be filed

The Board or the State Government may, on the suggestion of the Council, fix monetary limits for appeals for requests by the GST officer to manage the recording of claim and stay away from superfluous prosecution costs. Therefore Appeals cannot be made for the below decisions taken by the GST Officer:-

  •  An order to transfer the proceedings from one officer to another officer
  •  An order to seize or retain books of account and other documents; or
  •  An order sanctioning prosecution under the Act; or
  •  An order allowing payment of tax and other amount in instalments

An Individual unhappy with any decision or order passed against him under GST by an adjudicating authority can appeal to the First Appellate Authority.

In case the individuals are not happy with the decision of the First Appellate Authority they can appeal to the National Appellate Tribunal, then to High Court, and finally Supreme Court.



GST Appeals