Section 107 – Appeals to Appellate Authority
Section 107 of CGST Act, 2017 – Appeals to Appellate Authority
Updated on: February 2026 (as applicable till date)
Prepared by: Yours Tax Consultant
1. Objective of Section 107
Section 107 provides the statutory right to file an appeal against orders passed by GST adjudicating authorities before the Appellate Authority.
It is the first appellate stage in the GST dispute resolution mechanism.
2. Orders Appealable under Section 107
Any person aggrieved by:
- An order passed by an adjudicating authority under this Act
- Any decision or order passed under GST law
may appeal to the Appellate Authority, except orders specifically excluded (e.g., orders under Section 129/130 in certain situations as notified).
3. Statutory Provision – Section 107 (Overview)
Section 107(1):
Any person aggrieved by any decision or order
passed under this Act
by an adjudicating authority
may appeal to such Appellate Authority
as may be prescribed
within three months
from the date on which such decision or order
is communicated to such person.
Section 107(4):
The Appellate Authority may,
if satisfied that the appellant
was prevented by sufficient cause
from presenting the appeal within time,
allow it to be presented
within a further period of one month.
4. Who Can File Appeal
Appeal can be filed by:
- Any taxable person
- Any person aggrieved (including non-registered persons)
- Department (through authorised officer)
Departmental appeals are governed by separate sub-sections of Section 107.
5. Time Limit for Filing Appeal
| Category | Time Limit |
|---|---|
| Taxpayer appeal | 3 months from date of communication |
| Condonable delay | 1 additional month |
| Department appeal | 6 months |
Appeals filed beyond condonable period are barred by limitation.
6. Mandatory Pre-deposit under Section 107(6)
To file an appeal, the appellant must pay:
- 100% of admitted tax, interest, fine, fee and penalty, and
- 10% of disputed tax (subject to a maximum of ₹25 crore)
On payment of pre-deposit, recovery of remaining amount is deemed to be stayed.
7. Form and Manner of Appeal
Appeal shall be filed:
- In FORM GST APL-01 (taxpayer)
- In FORM GST APL-03 (department)
- Electronically on GST portal
Supporting documents and grounds of appeal must be uploaded.
8. Powers of Appellate Authority
The Appellate Authority may:
- Confirm the order
- Modify the order
- Annul the order
However, it cannot enhance penalty or tax without giving notice and hearing.
9. Opportunity of Being Heard
Section 107 mandates:
- Personal hearing if requested
- Opportunity to file written submissions
- Passing of a reasoned order
Violation of natural justice renders the appellate order invalid.
10. Departmental Appeals under Section 107(2)
The Commissioner may:
- Examine adjudication orders
- Direct filing of appeal if order is improper or illegal
Such appeals must be filed within prescribed time limits.
11. Section 107 vs Advance Ruling Appeals
- Section 107: Appeal against adjudication orders
- Section 100: Appeal against advance ruling
Both operate in distinct fields.
12. Judicial Principles
Courts have consistently held that:
- Right to appeal is statutory
- Pre-deposit is mandatory
- Recovery must stop after valid appeal filing
- Limitation provisions are strict
13. Practical Tips for Filing GST Appeal
- Track date of service of order carefully
- File appeal well within limitation
- Draft clear and specific grounds
- Pay correct pre-deposit
14. Related Provisions
15. Professional Insight
Section 107 is the backbone of GST litigation. Most disputes are resolved at this stage itself if appeals are properly drafted, timely filed, and supported by law and facts. Missing limitation or pre-deposit can permanently close the doors of justice.
Disclaimer: This article is prepared based on the CGST Act, CGST Rules, notifications and prevailing legal position as applicable till date. Appeal procedures are subject to change through amendments or judicial interpretation.
Comments