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Under Goods and Services Tax (GST), taxpayers have the right to file an appeal if they are dissatisfied with a decision or order issued by the tax authorities. The appeal process allows taxpayers to seek a review of such decisions and present their case before higher authorities.

Appeal process under GST:

1. Appellate Authority: The first level of appeal is made to the Appellate Authority, which is usually a higher-level officer within the tax department. The Appellate Authority reviews the case and decides whether to uphold, modify, or reject the original decision.

2. Time Limit: Taxpayers must file their appeal within the prescribed time limit, which is generally 30 days from the date of receipt of the order or decision that is being appealed against. However, this time limit can vary based on the specific circumstances and the appellate forum.

3. Appellate Tribunal and Courts: If a taxpayer is not satisfied with the decision of the Appellate Authority, they can further appeal to the Appellate Tribunal. In some cases, appeals can also be filed directly with the High Court or Supreme Court, depending on the nature and value of the dispute.

4. Legal Representation: Taxpayers have the right to be represented by a legal professional during the appeal proceedings. They can engage a chartered accountant, advocate, or any other authorized representative to present their case. 

5. GST Dispute Resolution: In addition to the regular appeal process, GST provides for alternative dispute resolution mechanisms such as mediation and the GST Dispute Resolution Panel (DRP). These mechanisms aim to resolve disputes in a more expeditious and mutually agreeable manner.

WHO CAN FILE AN APPEAL UNDER GST:

Parties

1.  Registered Taxpayers: Any individual or business entity that is registered under GST can file an appeal. This includes regular taxpayers who are registered under GST and comply with the tax obligations.

2.  Input Service Distributors (ISD): ISDs, which are entities that distribute input tax credit (ITC) among multiple branches or units of a company, have the right to file an appeal under GST.

3.  Tax Deductors at Source (TDS) and Tax Collectors at Source (TCS): Entities responsible for deducting or collecting tax at source can also file appeals under GST if they are dissatisfied with any decision or order issued by the tax authorities.

4.  Casual Taxable Persons: Casual taxable persons, who engage in occasional business activities in a different state or territory where they do not have a regular place of business, are eligible to file appeals.

5.  Non-Resident Taxable Persons: Non-resident taxable persons, who do not have a fixed place of business in India but are engaged in taxable supplies, can file appeals against decisions or orders issued by the GST authorities

6. Persons Registered under the Composition Scheme: Taxpayers who have opted for the Composition Scheme, which offers a simplified tax and compliance framework for small businesses, also have the right to file appeals.

Tax department

The department can file appeals in cases where they disagree with a decision made by lower authorities or when they believe there has been an error in interpreting or applying the GST laws. 

WHEN AN APPEAL CANNOT BE FILED UNDER GST

1.  Intra-State Supplies: Appeals cannot be filed against decisions or orders relating to intra-state supplies. Intra-state supplies refer to transactions where the supplier and the recipient are located within the same state.

2.  Amount of Tax, Interest, or Penalty below a Specified Threshold: Appeals cannot be filed if the disputed amount of tax, interest, or penalty is below a specified threshold. The threshold amount is determined by the respective appellate authorities or tribunals.

3.  Decision or Order by Appellate Authority or Appellate Tribunal: Appeals cannot be filed against decisions or orders passed by the Appellate Authority or the Appellate Tribunal. These decisions are considered final and binding.

4.  Orders Passed with the Consent of the Taxpayer: If an order is passed with the consent of the taxpayer, whether given before or during the appellate proceedings, appeals cannot be filed against such orders.

5. Matters Pending Before Courts: Appeals cannot be filed against matters that are pending before any court, tribunal, or authority, other than the Appellate Authority or the Appellate Tribunal under GST.

6.  Disputes under Specific Sections: Appeals cannot be filed against decisions or orders relating to certain specific sections of the GST Act, such as sections dealing with advance rulings, anti-profiteering measures, and electronic commerce operators.

7.  Pre-deposit an appeal cannot be filed unless the appellant (the person filing the appeal) deposits an amount equal to 10% of the disputed amount mentioned in the order against which the appeal is being filed.

NANJUNDAPPA TRADING COMPANY AND ANOTHER VERSUS STATE OF U.P

The petitioner must deposit 20% of the remaining disputed tax amount within three weeks as required by Section 112(8) of the Act. Recovery proceedings for the balance amount will be put on hold until the petition is resolved. The petitioner had already deposited 10% of the disputed tax amount while filing the first appeal and provided security for the remaining amount. The Appellate Tribunal under the U.P Goods and Services Tax Act 2017 has not been formed yet, so the petitioner approached the court with a writ petition as there was no alternative remedy available. The petitioner believes that the transaction in question does not fall under the provisions of the Act, making the imposition of penalty and tax invalid. The court has accepted the petition, and the Revenue has three weeks to file a counter affidavit.