Section 115 of CGST Act, 2017 – Interest on Refund of Amount Paid for Admission of Appeal
Such amount shall be refunded along with interest at such rate as may be prescribed . ✅ Meaning in Simple Words When a taxpayer files an appeal, he has to deposit: ✔ 10% of disputed tax (first appeal) ✔ Additional amount for further appeals If the taxpayer wins the case: ➡ The deposited amount is refunded ➡ Along with interest This ensures fairness and compensation for blocked funds. 💰 What is “Pre-Deposit”? Pre-deposit is the amount required to be paid before filing an appeal. Stage Pre-deposit Requirement First Appeal (Section 107) 10% of disputed tax Tribunal Appeal (Section 112) Additional 20% This deposit is mandatory for admission of appeal. 📌 When Does Section 115 Apply? This section applies when: ✔ Appeal is decided in favour of taxpayer ✔ Pre-deposit amount becomes refundable ✔ Refund arises due to appellate or court order ⏳ Interest on Refund • Interest is payable from date of deposit till date of refund • Rate of interest is prescribed under ...