If you disagree with a Tax Officer’s order (for example, if they reject your reply and demand tax you don’t owe), you file an Appeal. This is a higher-level legal battle where you take the case to an Appellate Authority (CIT-Appeals or GSTAT). In 2026, with the GST Appellate Tribunal (GSTAT) fully operational, appeals have become faster and more structured.
Eligibility & Criteria
- Thresholds & Limits:
- Time Limit: Usually 30 days (Income Tax) or 3 months (GST) from the date of the order.
- Pre-deposit: You must typically pay 10% to 20% of the disputed tax upfront to “stay” the recovery of the remaining amount.
- Penalty: If the appeal is lost, you pay the full tax + Interest @ 12-18% from the original due date.