GST appeal pre-deposit reduced to the statutory 10% requirement, allowing the appeal to be filed.

The Madras HC dealt with the pre-deposit required for filing a statutory GST appeal under Section 107 and noted that the statutory requirement was 10% of the tax demand, not 20%. As the appellant was willing to pursue the appellate remedy by making the prescribed deposit, the higher condition imposed in the writ proceedings was modified. The operative effect was that the pre-deposit requirement was brought down to 10%, enabling the statutory appeal to be filed.

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Issues: Whether the condition of pre-deposit for filing the statutory appeal under Section 107 could be modified from 20% of the tax demand to 10%.

Analysis: The appellant had been relegated to the appellate authority and required to deposit 20% of the demand while preferring the appeal. The respondents fairly accepted that the statutory requirement under the GST law was a 10% pre-deposit. In the circumstances, and in view of the appellant's willingness to avail the appellate remedy by making the statutory deposit, the higher condition imposed in the writ proceedings was found liable to be modified.

Conclusion: The pre-deposit condition was reduced to 10% of the tax demand, enabling the appellant to file the statutory appeal.

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