Issue in calculation of Pre-deposit amount for filing Appeal

[Ankit Bansal]

An appeal is to be filed with the GST Department which requires payment of mandatory pre-deposit. The pre-deposit i.e. 10% of the disputed tax amount comes out to be Rs. 45 crore. However, the maximum limit for amount of pre-deposit is capped at Rs. 40 crore (CGST: Rs. 20 crore, SGST: Rs. 20 crore) as per the statutory provisions in place. However, while generating challan on the GST portal, system is automatically picking 10% amount of Rs. 45 crore rather than restricting it to Rs. 40 crore. Can someone suggest a way out so that appeal can be filed with the right amount of pre-deposit?

AI Summary

Pay 10% GST appeal pre-deposit capped at Rs.40 crore; use capped challan or seek rectified challan before filing An appellant must pay a mandatory pre-deposit for a GST appeal equal to 10% of disputed tax but statutory rules cap the payable pre-deposit at Rs. 40 crore (Rs. 20 crore CGST and Rs. 20 crore SGST). The portal's challan generator incorrectly shows Rs. 45 crore (10% of dispute). The correct approach is to compute the pre-deposit as capped at Rs. 40 crore and seek to file the appeal with evidence of deposit of the capped amount; if the portal prevents this, raise a technical grievance with GST helpdesk, obtain a rectified challan or manual guidance from the appellate registry before filing.