📌 When Can You File GST Appeal?

If an officer passes order under:

• Section 129 (Detention)

• MOV-09 (Final order)

• Confiscation under Section 130

You have a right to file appeal under:

Section 107 of the CGST Act, 2017

Many taxpayers wrongly believe detention penalty cannot be challenged. That is incorrect.

⏳ Time Limit to File Appeal

Under Section 107:

✔ Appeal must be filed within 3 months from date of order
✔ Delay of 1 additional month may be condoned

Missing this timeline weakens your case.

💰 Pre-Deposit Requirement

To file appeal, you must deposit:

In detention cases, pre-deposit structure must be carefully analysed because penalty calculation differs.

Strategic planning is essential.

🧠 Step-by-Step Appeal Filing Process

Step 1: Analyse MOV-09 Order

Identify legal errors.

Step 2: Draft Grounds of Appeal

Include:

• Lack of intent to evade tax

• Procedural lapse

• Disproportionate penalty

• Violation of natural justice

Step 3: Upload Appeal in GST Portal

File Form GST APL-01.

Step 4: Submit Documents

Attach:

• Order copy

• Reply to MOV-07

• Supporting evidence

Step 5: Attend Personal Hearing

Structured presentation improves outcome.

🧠 3 Practical Scenarios

🟢 Scenario 1: Paid Penalty Under Pressure

Many transporters pay immediately to release goods.

Important Insight:
Payment does NOT mean you lose right to appeal.

Appeal can still be filed for refund/reduction.

🟢 Scenario 2: Officer Ignored Written Reply

You submitted detailed MOV-07 reply, but final order does not discuss your arguments.

Strong Appeal Ground:
Violation of natural justice.

Orders must show application of mind.

🟢 Scenario 3: Minor Clerical Error Treated as Evasion

Wrong vehicle number → 200% penalty imposed.

Appeal Strategy:

• Emphasize no revenue loss

• Cite judicial precedents

• Argue proportionality

Many such cases succeed in appeal.

⚖️ Important Legal Grounds in Detention Appeals

• No intent to evade tax

• Technical lapse

• Disproportionate penalty

• Section 130 invoked prematurely

• Lack of speaking order

Appeals often succeed when grounds are structured properly.

❌ Common Mistakes in GST Appeals

• Missing limitation period

• Filing appeal without proper drafting

• Not calculating pre-deposit correctly

• Assuming detention order is final

Detention orders are not final — appellate remedy exists.

📋 Practical Checklist Before Filing Appeal

✔ Verify time limit
✔ Check pre-deposit requirement
✔ Compile all documents
✔ Draft structured grounds
✔ Avoid emotional language

Professional drafting improves outcome significantly.

🏁 Final Takeaway

Section 107 provides a statutory remedy against wrongful detention penalties.

Many Section 129 orders are reduced or set aside in appeal when properly challenged.

Timely and structured approach is key.

📞 Soft Advisory Note

If detention penalty has been imposed under Section 129 or confiscation initiated under Section 130, evaluating appellate remedies under Section 107 at an early stage is advisable.