Published Quick answer — GST first appeals in 2026:
| Point | Position |
|---|---|
| Law and form | Section 107 of the CGST Act; Form GST APL-01 on the GST portal, acknowledged in APL-02 |
| Time limit | 3 months from communication of the order; 1 more month on sufficient cause (outer limit 4 months) |
| Department's time limit | 6 months |
| Pre-deposit | Admitted amount in full + 10% of disputed tax, capped at ₹20 crore each under CGST and SGST |
| Penalty-only orders | 10% of the penalty, from 1 October 2025 (Finance Act, 2025) |
| Fee | No fee for APL-01 |
| Next forum | GST Appellate Tribunal (APL-05) within 3 months, with a further 10% pre-deposit |
In short: A GST first appeal is filed in Form APL-01 under section 107 of the CGST Act within three months of the order being communicated, with one more month allowed for sufficient cause. You must pay the admitted amount in full and 10% of the disputed tax, capped at ₹20 crore each under CGST and SGST; recovery of the balance is then stayed. For penalty-only orders, 10% of the penalty applies from 1 October 2025. The Appellate Authority can confirm, modify or annul the order but cannot send it back.
Most GST demands confirmed in a DRC-07 order can still be reduced or set aside, but only if the first appeal is filed in time and the pre-deposit is right. The limit is strict: three months, and one more month at most. After that, the appellate authority has no power to admit the appeal. This guide explains the time limit, the pre-deposit, how to file APL-01 and what the Appellate Authority can and cannot do.
What is a GST first appeal under section 107?
Any person aggrieved by a decision or order of an adjudicating authority under the CGST Act or the State GST Act can appeal to the Appellate Authority under section 107. The usual case is a demand order in DRC-07 after a show cause notice under section 73, 74 or 74A. Refund rejections, registration cancellations and penalty orders can also be appealed.
| Order passed by | Appeal goes to |
|---|---|
| Additional or Joint Commissioner | Commissioner (Appeals) |
| Deputy or Assistant Commissioner, or Superintendent | Additional or Joint Commissioner (Appeals) |
The same structure applies to State GST orders. In Kerala, orders of State tax officers go to the corresponding appellate authority of the State GST Department.
What is the time limit for a GST appeal?
| Who | Time limit | Law |
|---|---|---|
| Taxpayer | 3 months from the date the order is communicated | Section 107(1) |
| Taxpayer, late appeal | 1 further month if sufficient cause is shown | Section 107(4) |
| Department | 6 months from the date of communication | Section 107(2) |
The three months run from the date the order is communicated, usually the date it is uploaded on the GST portal. The Appellate Authority cannot condone a delay beyond the one extra month, and courts have generally refused to extend it. A missed deadline usually leaves only a writ petition, which is narrow and slow, so the date should be diarised the day the order arrives.
How much pre-deposit is required?
Before the appeal is admitted you must pay (section 107(6)):
- the full amount of tax, interest, fine, fee and penalty that you admit; and
- 10% of the tax still in dispute, subject to a maximum of ₹20 crore each under the CGST Act and the State GST Act (the cap was reduced from ₹25 crore with effect from 1 November 2024).
The 10% is worked out on the disputed tax only, not on interest or penalty. Once the pre-deposit is paid, recovery of the balance is deemed stayed until the appeal is decided (section 107(7)). CBIC Circular No. 172/04/2022-GST of 6 July 2022 clarified that the pre-deposit can be paid from the electronic credit ledger as well as in cash.
Penalty-only orders. Where the order demands only a penalty, with no tax, the Finance Act, 2025 requires a pre-deposit of 10% of the penalty from 1 October 2025. The Delhi High Court has held that this does not apply where the show cause notice was issued before 1 October 2025.
How do you file a GST appeal in APL-01?
- Fix the dates. Note when the order was uploaded or served and work out the last date.
- Split the demand. Decide what you accept and what you contest. Paying the admitted part early lowers interest and limits the pre-deposit to the real dispute.
- Pay. Pay the admitted amount and the 10% pre-deposit through the electronic cash or credit ledger, and link the payments in the form.
- Draft the appeal. A statement of facts and a separate ground for each issue: limitation of the notice, the wrong section (for example, section 74 used instead of 74A for FY 2024-25 onwards), wrong computation, and the merits.
- File APL-01 on the GST portal. A provisional acknowledgement is issued at once. Where the order was not uploaded on the portal, the certified copy must be submitted within seven days (rule 108). The final acknowledgement is issued in APL-02.
- Prepare for the hearing. File the reconciliations and documents in an organised paper book.
What happens at the hearing?
- Hearing. The Appellate Authority must give a hearing. Up to three adjournments can be given for sufficient cause.
- New grounds and evidence. Additional grounds can be allowed if the omission was not wilful. New evidence is admitted only in the limited cases allowed by rule 112, so evidence should be put before the adjudicating officer wherever possible.
- Powers. The Appellate Authority can confirm, modify or annul the order, but cannot refer the case back to the adjudicating authority (section 107(11)). It can enhance a demand only after a notice to you.
- Time. The authority is to decide the appeal within one year of filing, where possible (section 107(13)).
When should you consider the section 128A waiver instead?
For demands under section 73 for FY 2017-18 to 2019-20, section 128A waives interest and penalty if the tax is paid. If you choose the waiver, a pending appeal has to be withdrawn. Compare the two before filing: our section 128A guide explains who can still use it.
What comes after the first appeal?
If the first appeal is decided against you, the next forum is the GST Appellate Tribunal in Form APL-05, within three months, with a further 10% pre-deposit of the tax still in dispute. For Kerala the State Bench sits at Ernakulam. The full route, from audit and show cause notice to the Tribunal, is set out on our GST audit and assessment page.
Need help with this? We draft and file GST first appeals in APL-01, work out the pre-deposit, argue the hearing and take matters to the GST Appellate Tribunal. See GST notices and appeals in Kochi or book a GST review call.
Frequently asked questions
What is the time limit for filing a GST appeal?
Three months from the date the order is communicated, under section 107(1) of the CGST Act. The Appellate Authority can allow one further month if you show sufficient cause (section 107(4)). The department has six months.
Can the delay in a GST appeal be condoned beyond four months?
Not by the Appellate Authority. Its power is limited to one month beyond the three-month period. After that the remedy usually lies only in a writ petition before the High Court.
How much pre-deposit is required for a GST appeal?
The admitted amount of tax, interest, fine, fee and penalty in full, plus 10% of the tax in dispute, subject to a maximum of ₹20 crore each under CGST and SGST (section 107(6)). Recovery of the balance is then stayed.
Is pre-deposit required for a penalty-only GST order?
Yes, from 1 October 2025 a pre-deposit of 10% of the penalty applies to orders demanding only penalty. The Delhi High Court has held that it does not apply where the show cause notice was issued before 1 October 2025.
Can I pay the GST appeal pre-deposit from input tax credit?
Yes. CBIC Circular No. 172/04/2022-GST of 6 July 2022 clarified that the pre-deposit can be paid from the electronic credit ledger as well as the electronic cash ledger.
Which form is used for a GST appeal?
Form GST APL-01, filed on the GST portal. A provisional acknowledgement is issued on filing, and the final acknowledgement in Form APL-02.
Is there a fee for a GST first appeal?
No fee is payable for filing Form APL-01. A fee applies only at the GST Appellate Tribunal stage.
Can the GST Appellate Authority send the case back to the officer?
No. Under section 107(11) the Appellate Authority can confirm, modify or annul the order but cannot refer the case back to the adjudicating authority.
What is the next step if the GST appeal is rejected?
Appeal to the GST Appellate Tribunal in Form APL-05 within three months, with a further 10% pre-deposit of the tax still in dispute.
Related guides
- GST audit and assessment services in Kochi: notices, audits and appeals
- GST show cause notice (DRC-01): how to reply under sections 73, 74 and 74A
- GST Appellate Tribunal (GSTAT): how to appeal
- Section 128A GST waiver of interest and penalty
- GST raid: inspection, search, summons and arrest
Sources
- Central Goods and Services Tax Act, 2017, sections 107 and 112; CGST Rules, 2017, rules 108, 109A and 112 — CBIC GST
- CBIC Circular No. 172/04/2022-GST dated 6 July 2022 — CBIC GST
This guide reflects the law as at 11 November 2026. It is general information, not advice on a specific case.