Taxpayers who are dissatisfied with decisions or orders issued by the Goods and Services Tax (GST) authorities have the option to file an appeal. GST appeals are an essential part of the dispute resolution mechanism under the GST regime
1. Enforcement Order
An enforcement order is issued by GST authorities when they take enforcement actions such as attaching property or assets to recover tax dues or penalties. This order outlines the action to be taken against the taxpayer to ensure compliance with GST laws.
A person may file an appeal against an enforcement order if they believe the enforcement action is unjust or if they have grounds to contest the action taken by the authorities.
2. Assessment or Demand Order
An assessment or demand order is issued after a tax audit or assessment of a taxpayer's financial records. It specifies the amount of GST liability, including taxes, interest, and penalties, that the taxpayer is required to pay to the government.
An appeal can be filed against an assessment or demand order if the taxpayer disagrees with the amount of liability calculated by the GST authorities. This appeal allows the taxpayer to contest the assessed tax amount.
3. Registration Order
A registration order is issued by the GST authorities when a business applies for GST registration. It specifies whether the application for GST registration has been approved or rejected.
If a business's application for GST registration is rejected or if they disagree with the conditions imposed in the registration order, they can file an appeal to challenge the decision.
4. Refund Order
A refund order is issued when a taxpayer claims a refund of excess GST paid. It specifies whether the refund claim has been approved, partially approved, or rejected.
If a taxpayer's refund claim is rejected or partially approved, they can file an appeal to contest the decision and seek a full refund.
5. Assessment Non-Demand Order
An assessment non-demand order is issued after a tax assessment, similar to the assessment or demand order. However, it does not involve a demand for additional tax payments. It may be used to verify compliance and accuracy of reported information.
Taxpayers can file an appeal against an assessment non-demand order if they disagree with the assessment or if they believe the information has been assessed inaccurately.
6. LUT (Letter of Undertaking) Order
An LUT order is relevant for businesses that are eligible to export goods or services without paying GST. It is issued when a business applies for permission to furnish an LUT instead of paying taxes on exports.
If the GST authorities reject an application for an LUT or impose conditions that the business disagrees with, they can file an appeal to challenge the decision and seek approval for LUT submission.
These appealable orders provide recourse for taxpayers to challenge decisions made by the GST authorities in various situations. Filing an appeal allows for a formal review of the decision and provides an avenue for resolving disputes or rectifying errors in the orders issued by the GST authorities.