GST Refund Appeal Under Section 107 - Form APL-01 Filing and Pre-Deposit

Section 107 of the Central Goods and Services Tax Act 2017 is the foundational appellate remedy under the GST regime. Any person aggrieved by any decision or order passed against him by an adjudicating authority - including Form GST RFD-06 refund rejection - may appeal to the Appellate Authority within 3 months from the date on which the said decision or order is communicated. The Appellate Authority is typically the Commissioner (Appeals) or such other officer as designated by the Commissioner under Rule 109A. Per CBIC Circular 250/07/2025-GST dated 24 June 2025, the Principal Commissioner or Commissioner of Central Tax acts as the Reviewing Authority under Section 107 for orders passed by Common Adjudicating Authorities.

Filing is in Form GST APL-01 along with the Annexure containing the statement of facts and grounds of appeal. The form is filed electronically on the GST common portal under Services > User Services > My Applications > Appeal to Appellate Authority. Mandatory pre-deposit under Section 107(6) is 10 percent of the remaining amount of tax in dispute - paid via Form PMT-06 challan from the Electronic Cash Ledger; the Electronic Credit Ledger cannot be used and is the single most common DIY procedural error. Provisional APL-02 acknowledgement is issued immediately on online filing; final APL-02 with appeal number is issued only after self-certified copy of RFD-06 is submitted within 7 days per Rule 108(3). The Appellate Authority can confirm, modify, or annul the order under Section 107(11) - notably GST law does NOT permit remand back to the original adjudicator (unlike Income Tax Act). The order is summarised in Form APL-04 with an aspirational 1-year disposal under Section 107(13). Where APL-04 is also adverse, Section 112 second appeal lies before the GST Appellate Tribunal in Form APL-05 within 3 months; for backlog matters where APL-04 was communicated before 01.04.2026, Notification S.O. 4220(E) dated 17.09.2025 extends the filing window to 30.06.2026.

Content is reviewed quarterly for accuracy.

Any person aggrieved by an adverse Form GST RFD-06 refund rejection order can file a Section 107 first appeal. Patron Accounting handles Section 107 filings for the following appellant categories:

• Exporters facing RFD-06 rejection on inverted duty refund (Section 54(3)(ii)) or zero-rated supply refund (Section 54(3)(i)) grounds - service exporters disputed on Section 2(6) IGST conditions; goods exporters on shipping bill or LUT mismatches
• SEZ and EOU units with refund rejection on zero-rated supplies, ITC accumulation, or NoC and endorsement gaps
• Inverted duty structure manufacturers - textiles, footwear, fertilisers, pharma APIs - facing rejection on Rule 89(5) formula application or input-output classification
• E-commerce operators and aggregators with TCS, marketplace, and place-of-supply disputes leading to RFD-06 rejection
• Sole proprietorships, partnerships, LLPs, private limited companies, and OPC structures with refund rejection on documentary or quantum grounds
• Importers facing IGST refund disputes under Section 54(8) and Section 16(3) of IGST Act
• NRTPs, casual taxable persons, and registered non-resident taxpayers with one-off refund disputes

Patron's Section 107 filings have been done for clients in pharma, IT services, engineering, textile, electronics, and chemical sectors - 200+ refund litigation matters handled.

Patron Accounting prepares the Section 107 appeal documentation pack from the following source documents shared by the client at engagement:

• Original Form GST RFD-01 ARN - acknowledgement reference of the underlying refund application
• Form GST RFD-06 PDF - the Refund Sanction or Rejection Order being appealed against; both portal-uploaded and any physical certified copy
• Form GST RFD-08 SCN - Show Cause Notice issued before RFD-06 (if any) and Patron's RFD-09 reply with annexures
• Statement of facts and grounds of appeal (Annexure to APL-01) - drafted by Patron; client provides factual narrative and supporting evidence
• Underlying refund supporting documents - export invoices, shipping bills with EGM, FIRC/BRC, LUT, GSTR-1 and GSTR-3B reconciliation, GSTR-2B vs ITC ledger, RFD-01 statements as applicable
• Judicial precedent set - HC and SC rulings relevant to grounds; integrated by Patron from internal precedent library
• Power of Attorney for Authorised Representative - executed under Section 116 of CGST Act 2017 for Patron's CA team to appear at hearing
• Digital Signature Certificate (DSC) - for companies/LLPs; Electronic Verification Code (EVC) for proprietorships
• Electronic Cash Ledger balance proof - sufficient for pre-deposit; pre-funding via direct deposit if needed
• Form GST PMT-06 challan - generated and paid before APL-01 final submission
• Form GST DRC-03 challan - for admitted amount payment (if any portion admitted)

Patron's documentation checklist is signed off by the senior CA before APL-01 portal submission. The checklist also includes 7-day certified copy reminder, final APL-02 monitoring, and hearing brief preparation triggers.

All fees and charges listed are indicative only and do not constitute a binding offer. Final amounts may vary depending on the volume of work and the complexity involved.

Professional service charges for drafting, filing, and representation are separate from the statutory fees. The exact fee depends on the complexity of the case, disputed amount, and number of hearings required. Contact us for a detailed quote.

Get a free Section 107 Appeal consultation - Call +91 945 945 6700 or WhatsApp us. No-obligation assessment.

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Hyundai, Asian Paints, Bridgestone, and 200+ Indian businesses including pharma, IT services, engineering, textile, electronics, and chemical exporters with active Section 107 appeals handled by Patron.

Outcome Proof

A Delhi engineering exporter recovered Rs 35 lakh refund plus Rs 1.6 lakh Section 56 interest through Section 107 first appeal in February 2026. Original RFD-06 from August 2025 had rejected Rs 35 lakh of Rs 50 lakh claim citing service-not-export under Section 2(6) of IGST Act. Patron's APL-01 with Annexure integrating Mavenir Karnataka HC 2025 and Gujarat HC December 2025 rulings, pre-deposit Rs 3.5 lakh from Cash Ledger, hearing representation in January 2026 - APL-04 in February 2026 set aside RFD-06; Rs 36.6 lakh disbursed within 35 days.

With offices in Pune, Mumbai, Delhi, and Gurugram, Patron Accounting serves businesses across India - both in-person and remotely.

Section 107 appeal integrates with Patron's broader GST refund and litigation stack. Explore related services below:

• GST Refund - parent practice covering the full Section 54 refund spectrum, RFD-01 filing, RFD-06 sanction or rejection, and refund category mechanics
• GSTAT Appeal Filing - the Tier 2 second appeal under Section 112 in Form APL-05; used when Section 107 APL-04 is adverse
• GSTAT Pre-Deposit Calculation - Section 112(8) cumulative 20 percent pre-deposit advisory; coordinated with Section 107(6) discipline
• GST Notice - covers Section 73, 74, and 74A demand notices and RFD-08 SCN replies before they crystallise into RFD-06
• GST Audit - Section 65 departmental audit and forensic-style internal audit support for refund-eligible taxpayers
• GST Annual Returns - GSTR-9 and GSTR-9C compliance feeding into refund reconciliation

Section 107(1) of CGST Act 2017

Any person aggrieved by any decision or order passed under this Act or the State Goods and Services Tax Act or the Union Territory Goods and Services Tax Act by an adjudicating authority may appeal to such Appellate Authority as may be prescribed within three months from the date on which the said decision or order is communicated to such person. Refund rejection in Form GST RFD-06 is a decision passed by an adjudicating authority and is therefore appealable under this provision.

Section 107(6) of CGST Act 2017 - Pre-Deposit

No appeal shall be filed under sub-section (1), unless the appellant has paid (a) in full, such part of the amount of tax, interest, fine, fee and penalty arising from the impugned order, as is admitted by him; and (b) a sum equal to ten per cent of the remaining amount of tax in dispute arising from the said order, subject to a maximum of twenty-five crore rupees, in relation to which the appeal has been filed. Where any order is challenged demanding penalty without involving demand of any tax, no appeal shall be filed unless ten per cent of the said penalty has been paid.

Section 107(11) of CGST Act 2017 - Powers of Appellate Authority

The Appellate Authority shall, after making such further inquiry as may be necessary, pass such order, as it thinks just and proper, confirming, modifying or annulling the decision or order appealed against but shall not refer the case back to the adjudicating authority that passed the said decision or order. Critically, GST law does NOT permit remand back to the original adjudicator - this is structurally different from the Income Tax Act framework.

Rule 108 of CGST Rules 2017 - Filing Procedure

(1) An appeal to the Appellate Authority under sub-section (1) of section 107 shall be filed in FORM GST APL-01, along with the relevant documents, either electronically or otherwise as may be notified by the Commissioner, and a provisional acknowledgement shall be issued to the appellant immediately. (2) The grounds of appeal and the form of verification as contained in FORM GST APL-01 shall be signed in the manner specified in rule 26. (3) The certified copy of the decision or order appealed against shall be submitted within seven days of filing the appeal under sub-rule (1) and a final acknowledgement, indicating appeal number shall be issued thereafter in FORM GST APL-02. Where the certified copy is submitted within seven days of online filing, the date of filing of the appeal shall be the date of issue of the provisional acknowledgement; where submitted after seven days, the date of filing shall be the date of submission of certified copy.

Rule 112 of CGST Rules 2017 - Restriction on New Evidence

The appellant shall not be allowed to produce before the Appellate Authority or the Appellate Tribunal any evidence, whether oral or documentary, other than the evidence produced by him during the course of the proceedings before the adjudicating authority except in specific circumstances. No evidence shall be admitted unless the Appellate Authority or the Appellate Tribunal records in writing the reasons for its admission. The Appellate Authority or the Appellate Tribunal shall not take any evidence produced under this rule unless the adjudicating authority has been allowed a reasonable opportunity to examine the evidence.

CBIC Circular 250/07/2025-GST dated 24 June 2025

Specifies the procedure related to review, revision, and appeals for orders passed by the Common Adjudicating Authority (CAA). Clarifies that the Principal Commissioner or Commissioner of Central Tax shall be the Reviewing Authority under Section 107 and the Revisional Authority under Section 108 of the CGST Act 2017. The Circular harmonises Department-side appeal directions across CGST and SGST jurisdictions where common adjudication is involved.

Notification S.O. 4220(E) dated 17 September 2025

Issued under Section 112(1) of the CGST Act 2017. Specifies the date up to which appeal may be filed before the GST Appellate Tribunal (GSTAT). For orders communicated before 01.04.2026, the appeal may be filed up to 30.06.2026. For orders communicated on or after 01.04.2026, the appeal must be filed within three months from the date of communication of the order. This notification operationalises the GSTAT bridge for backlog matters and is critical for taxpayers with adverse APL-04 Order-in-Appeal received before 01.04.2026.

Section 107-related deadlines run off the RFD-06 communication clock. Missing any of the following deadlines can permanently extinguish your refund recovery rights:

• Section 107(1) appeal limitation - within 3 months of RFD-06 communication; statutory bar after lapse; +1 month condonable under Section 107(4)
• Section 107(4) condonation window - beyond 3 months with sufficient cause; +1 month maximum; beyond 4 months only Article 226 writ remedy survives
• Pre-deposit payment - must be paid before APL-01 submission; APL-02 will not issue without pre-deposit
• 7-day certified copy submission - within 7 days of online APL-01 filing; date of filing shifts if missed and potentially affects limitation
• APL-01W withdrawal post final APL-02 - withdrawal application within 7 days of decision; Appellate Authority approval required
• Section 112 GSTAT appeal - within 3 months of APL-04 communication; +3 months condonable; backlog window 30.06.2026 for pre-01.04.2026 orders per Notification S.O. 4220(E)
• Section 128A waiver scheme - requires appeal withdrawal first as precondition; withdrawal status screenshot needed for waiver application

Engage Patron Accounting within 7 days of RFD-06 receipt for full buffer on grounds analysis, pre-deposit funding, Annexure drafting, and 7-day certified copy discipline. Call +91 945 945 6700 or WhatsApp us now.

Section 107 of the Central Goods and Services Tax Act 2017 is the foundational appellate remedy against an adverse Form GST RFD-06 refund rejection order. The appeal lies before the Appellate Authority - typically Commissioner (Appeals) or designated officer under Rule 109A - and must be filed in Form GST APL-01 with Annexure within 3 months of RFD-06 communication, condonable by +1 month under Section 107(4) with sufficient cause. Mandatory pre-deposit of 10 percent of remaining disputed tax under Section 107(6) is paid via Form PMT-06 challan from the Electronic Cash Ledger only - the Electronic Credit Ledger cannot be used and is the single most common DIY procedural error.

Filing follows an 8-step GST portal procedure with provisional APL-02 acknowledgement issued immediately and final APL-02 issued only after self-certified copy of RFD-06 is submitted within 7 days per Rule 108(3). The hearing is conducted with up to 3 adjournments under Section 107(8), with restriction on production of new evidence under Rule 112. The Appellate Authority has powers under Section 107(11) to confirm, modify, or annul the order - critically, GST law does not permit remand back to the original adjudicator. The order is summarised in Form APL-04 with an aspirational 1-year disposal under Section 107(13). Where APL-04 is also adverse, Section 112 second appeal lies before GSTAT in Form APL-05; for backlog matters Notification S.O. 4220(E) dated 17.09.2025 extends the filing window to 30.06.2026.

Patron Accounting LLP brings 15+ years of GST refund litigation experience with 200+ refund litigation matters handled across pharma, IT services, engineering, textile, electronics, and chemical sectors with four physical offices in Pune, Mumbai, Delhi, and Gurugram. Aggrieved taxpayers gain CA-led same-day appeal viability assessment, 8-step APL-01 portal filing with first-time admission rate above 95 percent, Cash Ledger pre-deposit discipline preventing the most common DIY error, hearing representation with Section 107(8) adjournment management, and end-to-end APL-04 to bank credit recovery including Section 56 interest where adjudication delay occurred.