APPEAL AND REVISION UNDER GST ACT

General

1. Right to appeal against an adverse decision or order passed under GST law is a statutory right available to all assessees who are aggrieved by such order
2. Right to appeal is not an absolute right and is conditioned by fretters of timely filing of appeal and mandatory payment of part dues as pre-deposit.
3. Where a proper officer under one Act (say CGST) has passed an order, any appeal/review/ revision/rectification against the said order will lie only with the proper officers of that Act only (CGST Act). So also, if any, order is passed by the proper officer of SGST, any appeal/review/revision/rectification will lie with the proper officer of SGST only.

Appeals to Appellate Authority, i.e., Commissioner (Appeals)

1. Any person aggrieved by any decision or order passed by an adjudicating authority may appeal to prescribed Appellate Authority, i.e., Commissioner (Appeals)
2. Time limit for filing appeal is three months from the date on which the decision or order is communicated. However, the Commissioner (Appeals) can, if sufficient cause is shown, condone delay of 30 days.
3. Appeal has to be filed in FORM GST APL-01.
4. A provisional acknowledgement shall be issued to the appellant immediately on filing appeal.
5. A hard copy of the appeal then shall be submitted in triplicate and shall be accompanied by a certified copy of the decision or order appealed against along with the supporting documents within seven days of filing electronic appeal.
6. A final acknowledgement, indicating appeal number shall be issued in FORM GST APL-02 to appellant. 
7. The date of filing will be issuance of provisional acknowledgment if hard copy as above is submitted within time. If the hard copy is submitted after 7 days, then relevant date would this date of submission. 
8. Appeal to Appellate Authority can also be filed by Department.
9. For this purpose, the Commissioner may can call for and examine the record of any proceedings in which an adjudicating authority subordinate to him has passed any decision or order for the purpose of satisfying himself as to the legality or propriety of the said decision or order.
10. If not satisfied he may pass an order directing any officer subordinate to him to apply to the Appellate Authority
11. The appeal has to be filed within six months from the date of communication of the said decision or order.
12. Authorized officer can file an appeal in FORM GST APL-03 electronically and also submit hard copies thereof accompanied by a certified copy of the decision or order appealed against along with the supporting documents within seven days.
13. Procedure before Appellate Authority, i.e., Commissioner (Appeals)
14. Commissioner (Appeals) will grant an opportunity of hearing to appellant.
15. The hearing can be adjourned for maximum three occasions by recording reasons in writing.
16. Commissioner (Appeals) can also allow to add/include grounds of appeal if satisfied that their omission was not willful or unreasonable.
17. The Commissioner (Appeals), as far as possible within one year of appeal, shall pass such order in writing, as it thinks just and proper, confirming, modifying or annulling the decision or order appealed against.
18. The case shall not be remanded back to the adjudicating authority.
19. In case it is proposed to issue an order enhancing any tax, fee or penalty or fine in lieu of confiscation or confiscating goods of greater value or reducing the amount of refund or input tax credit, a reasonable opportunity of showing cause against the proposed order will be given.
20. Commissioner (Appeals) shall also issue a summary of the order in FORM GST APL-04 clearly indicating the final amount of demand confirmed.

Revisionary proceedings against Adjudication orders

1. Adjudication orders passed by an officer subordinate to the Revisional Authority can be examined by Revisional Authority either on his motion or on request from the Commissioner of other GST laws.
2. This revision can be done if Revisional Authority considers Adjudication order to be erroneous or prejudicial to the interest of revenue or illegal or improper or has not taken into account certain material facts, or in consequence of an observation by the Comptroller and Auditor General of India.
3. Operation of such Adjudication order can be stayed for specified period
4. Fresh order can be passed by Revisional Authority as deem just and proper including, enhancing or modifying or annulling the said decision or order.
5. Person concerned has to be granted an opportunity of being heard
6. Revisionary power cannot be exercised within period available to assessee for filing appeal or where appeal has already been filed.
7. It can also not be exercised when more than three years have expired after the passing of the decision or order or the order has already been taken for revision under this section at an earlier stage or order already passed in revision.

Appeal to Appellate Tribunal (Second Appeal)

1. Appeal from the order of Appellate Authority, ie, Commissioner (Appeals) or Revisionary Authority shall lie to Appellate Tribunal known as the Goods and Services Tax Appellate Tribunal for hearing appeals.
2. This Tribunal will have a National Bench with Regional Benches and respective State Bench with Area Benches.
3. The National Bench or Regional Benches shall have jurisdiction to hear appeals against the orders passed by the Appellate Authority, Le, Commissioner (Appeals) or the Revisional Authority in the cases where one of the issues involved relates to the place of supply.
4. Oher matters will fall in jurisdiction of State Bench or Area Benches.
5. Appellate Tribunal can refuse to admit any appeal where the amount involved does not exceed fifty thousand rupees.
6. Time limit of three months from the date of communication is available to aggrieved person for filing appeal. Tribunal can condone delay for another three months.
7. The appeal has to be filed electronically, in FORM GST APL-05, on the common portal and a provisional acknowledgement shall be issued to the appellant immediately.
8. A hard copy of the appeal then shall be submitted in triplicate and shall be accompanied by a certified copy of the decision or order appealed against along with the supporting documents within seven days of filing electronic appeal.
9. A final acknowledgement, indicating appeal number shall be issued in FORM GST APL-02 to appellant. 
10. The date of filing will be issuance of provisional acknowledgment if hard copy as above is submitted within time. If the hard copy is submitted after 7 days, then relevant date would this date of submission.
11. Department can also file appeal to Tribunal against order passed by an Appellate or Revisionary Authority.
12. For this purpose, the Commissioner can call for and examine the record for the purpose of satisfying himself as to the legality or propriety of the said decision or order.
13. If not satisfied he may pass an order directing any officer subordinate to him to apply to the Appellate Tribunal.
14. The appeal has to be filed within six months from the date of communication of the said decision or order. Delay in filing can be condoned by Tribunal by another three months.
15. Authorized officer will file appeal in FORM GST APL-07 electronically and also submit hard copies thereof accompanied by a certified copy of the decision or order appealed against along with the supporting documents within seven days.
16. Cross objection can be filed in prescribed Memorandum by opposite party to appeal within forty five days of the receipt of notice of appeal. Such memorandum shall be disposed of by the Appellate Tribunal, as if it were an appeal.

Procedure before Appellate Tribunal

1. Appellate Tribunal will grant an opportunity of hearing to appellant
2. The hearing can be adjourned for maximum three occasions by recording reasons in writing.
3. Appellate Tribunal an also allow to add/include grounds of appeal if satisfied that their omission was not willful or unreasonable.
4. The Appellate Tribunal, as far as possible within one year of appeal, shall pass such order in writing, as it thinks just and proper, confirming, modifying or annulling the decision or order appealed against.
5. The Appellate Tribunal can also remand the case back to the Appellate or Revisional Authority.
6. The Appellate Tribunal has the power to rectify any error apparent on the face of the record, if such error is noticed by it on its own accord, or is brought to its notice by the appellant or department within a period of three months from the date of the order.
7. Rectification which has the effect of enhancing an assessment or reducing a refund or input tax credit or otherwise increasing the liability of the other party can only be done after the party has been given an opportunity of being heard.
8. The Appellate Tribunal shall have power to regulate its own procedure.
9. It shall be guided by the principles of natural justice.
10. The Tribunal has same powers as are vested in a Civil Court for summoning or seeking the attendance of any person and examining him on oath or requiring the discovery and production of documents or receiving evidence on affidavits or setting aside any order of dismissal of any representation for default or any order passed by it ex parte etc.
11. Fee for filing appeal to Appellate Tribunal is one thousand rupees for every one lakh rupees of tax or input tax credit involved or the difference in tax or input tax credit involved or the amount of fine, fee or penalty determined in the order appealed against, subject to maximum of twenty-five thousand rupees.

 

Pre-deposit requirement before Commissioner (Appeals) and Appellate Tribunal

1. For filing appeal to first Appellate Authority, ie, Commissioner (Appeals), a sum equal to ten percent of the disputed tax amount has to be deposited as pre-deposit.
2. In case of appeal to Tribunal a sum equal to twenty per cent, in addition to 10% deposited earlier with first Appellate Authority, of the disputed tax amount, is required to be paid.
3. Pre-deposit will be refunded with interest @ 6% where said amount becomes refundable on account of order in favour of assesse.

 

Appeal to High Court

1. Appeal against orders passed by the State Bench or Area Benches of the Appellate Tribunal shall lie to the High Court and the High Court may admit such appeal, if it is satisfied that the case involves a substantial question of law and it does not involve any issue relating to the "Place of Supply”.
2. This appeal in FORM GST APL-08 shall be filed within a period of one hundred and eighty days from the date on which the order appealed against is received by the aggrieved person
3. High Court can condone delay in filing appeal without any limit.
4. The appeal shall be heard by a Bench of not less than two Judges.

 

Appeal to Supreme Court

1. An appeal shall lie to the Supreme Court from any order passed by National Bench or Regional Benches of the Appellate Tribunal where one of the issues involved relates to the "Place of Supply”.
2. Appeal would also lie to Supreme Court from any judgment or order passed by the High Court in an appeal in any case which the High Court certifies to be a fit case for appeal to the Supreme Court.

Non-appealable decisions and orders

1. Board can fix monetary limits below which no departmental appeal would be filed with respective authorities. 
2. An order of the Commissioner or other authority empowered to direct transfer of proceedings from one officer to another officer cannot be appealed against.
3. Appeal cannot be filed against an order pertaining to the seizure or retention of books of account, register and other documents.
4. Prosecution sanction order also cannot be appealed against. An order relating to conditions of recovery of outstanding tax in installment cannot be appealed against.