Every week, we receive the same question from clients filing their first GSTAT appeal: “I paid the pre-deposit. Why is the portal asking for court fees separately?” The confusion is understandable. Both are payments required before GSTAT admits your appeal. Both are calculated on the disputed amount. But they serve completely different purposes, are paid through different channels, and have different refundability rules. Getting either one wrong results in a deficiency memo that delays your appeal by 2-4 weeks-time you cannot afford with the 30 June 2026 deadline (know more) approaching.
This guide explains each payment in detail, shows worked calculations for 5 different demand scenarios, highlights the common mistakes, and provides a side-by-side comparison that removes all confusion.
The Master Comparison Table
| Parameter | Court Fee | Pre-Deposit |
|---|---|---|
| Legal basis | Section 112(9), CGST Act read with GSTAT Procedure Rules, 2025 | Section 112(8), CGST Act |
| Purpose | Government charge for accessing the tribunal. Cost of justice administration. | Security deposit to ensure the appellant has a genuine stake. Deters frivolous appeals. |
| Rate | Rs 1,000 per Rs 1 lakh of disputed tax/penalty | 20% of disputed tax amount (cumulative: 10% at S.107 + 10% at GSTAT) |
| Minimum | Rs 1,000 | No statutory minimum (depends on disputed amount) |
| Maximum / Cap | Rs 25,000 | No cap (20% of disputed tax, however large) |
| Calculated on | Disputed tax OR penalty (whichever forms the subject of appeal) | Disputed TAX only. Not interest. Not penalty. Exception: penalty-only cases from 1 April 2025. |
| Payment mode | Bharatkosh portal (NTRP)-online or offline (bank challan). NOT through the GST portal. | Electronic cash ledger on GST portal OR DRC-03 challan. NOT through Bharatkosh. |
| Refundable? | NO. Non-refundable regardless of outcome. | YES. Refundable with 6% interest if appeal is allowed. Adjustable against demand if appeal is dismissed. |
| When to pay | Before or at the time of filing on the GSTAT portal. | Before filing. Pre-deposit proof must be attached to the appeal. |
| What if not paid | Deficiency memo from Registrar. Appeal not admitted until fee is paid. | Appeal is invalid under S.112(8). Cannot be admitted. No discretion. |
| Department pays? | No court fee for department appeals. | No pre-deposit for department appeals. |
Court Fee: How It Works
Calculation: Rs 1,000 for every Rs 1 lakh (or part thereof) of the disputed tax or penalty amount. The fee is rounded up-if your disputed amount is Rs 1,50,001, the fee is Rs 2,000 (2 lakhs, rounded up). Minimum Rs 1,000. Maximum Rs 25,000 (cap applies regardless of disputed amount).
| Disputed Amount | Calculation | Court Fee | Notes |
|---|---|---|---|
| Rs 50,000 | 1 lakh (rounded up) × Rs 1,000 | Rs 1,000 | Minimum applies |
| Rs 3,50,000 | 4 lakhs (rounded up) × Rs 1,000 | Rs 4,000 | Standard calculation |
| Rs 10,00,000 | 10 lakhs × Rs 1,000 | Rs 10,000 | Standard calculation |
| Rs 25,00,000 | 25 lakhs × Rs 1,000 | Rs 25,000 | Cap reached |
| Rs 1,00,00,000 | 100 lakhs × Rs 1,000 = Rs 1,00,000 → capped | Rs 25,000 | Cap: Rs 25,000 max regardless of amount |
Payment through Bharatkosh: The court fee is paid through the Government of India’s Non-Tax Receipt Portal (Bharatkosh, bharatkosh.gov.in). Payment options: net banking, debit card, UPI, or offline bank challan. After payment, you receive a Bharatkosh receipt/challan number. This must be entered on the GSTAT portal during the appeal filing process. Without this receipt, the portal will not allow you to complete the filing.
Common mistake: Trying to pay the court fee through the GST portal. The GST portal handles pre-deposit (electronic cash ledger). The court fee is a separate government receipt payable only through Bharatkosh. These are two different payment systems for two different obligations.
Pre-Deposit: How It Works
Legal requirement: Section 112(8) of the CGST Act mandates that no appeal shall be filed before GSTAT unless the appellant has paid the full amount of tax, interest, fine, fee, and penalty arising from the impugned order as admitted by the appellant, AND a sum equal to 20% of the remaining amount of tax in dispute. This 20% is cumulative-if you already paid 10% at the S.107 first appeal stage, you pay an additional 10% at GSTAT.
What “disputed tax” means: The tax amount that the First Appellate Authority confirmed against you, minus any portion you accept. It does NOT include interest or penalty (except for penalty-only cases effective 1 April 2025 per the Finance Act, 2025 amendment). This distinction is critical-many taxpayers incorrectly include interest in the pre-deposit base, resulting in overpayment.
| Demand Component | Original Order | First Appeal Order | Disputed at GSTAT | Pre-Deposit Base | GSTAT Pre-Deposit (addl 10%) |
|---|---|---|---|---|---|
| Tax (CGST+SGST) | Rs 10,00,000 | Reduced to Rs 7,00,000 | Rs 7,00,000 | Rs 7,00,000 | Rs 70,000 |
| Interest | Rs 3,00,000 | Proportionate: Rs 2,10,000 | Rs 2,10,000 | NOT included | Nil |
| Penalty | Rs 2,00,000 | Proportionate: Rs 1,40,000 | Rs 1,40,000 | NOT included | Nil |
| TOTAL | Rs 15,00,000 | Rs 10,50,000 | Rs 10,50,000 | Rs 7,00,000 | Rs 70,000 |
Payment mode: Through the GST electronic cash ledger (credit the cash ledger and debit against the pre-deposit) or through a DRC-03 challan. The pre-deposit proof (challan/ledger screenshot) must be uploaded as a PDF document during the GSTAT filing. Use our GSTAT pre-deposit calculation (know more) tool for precise computation.
HC interim deposits: If you approached the High Court during the GSTAT gap period (2017-2025) and paid a deposit under an HC interim order, that deposit is adjusted against the cumulative 20% pre-deposit. You only pay the difference. Attach the HC order and deposit proof to your GSTAT filing.
5 Worked Examples: Court Fee + Pre-Deposit Together
These examples show the total filing cost for different demand scenarios:
Example 1: Small demand (Rs 2 lakh tax)
| Component | Amount |
|---|---|
| Disputed tax | Rs 2,00,000 |
| Pre-deposit at S.107 (10%) | Rs 20,000 (already paid) |
| Additional pre-deposit at GSTAT (10%) | Rs 20,000 |
| Court fee (2 lakhs × Rs 1,000) | Rs 2,000 |
| TOTAL NEW PAYMENT AT GSTAT | Rs 22,000 |
Example 2: Medium demand (Rs 10 lakh tax)
| Component | Amount |
|---|---|
| Disputed tax | Rs 10,00,000 |
| Pre-deposit at S.107 (10%) | Rs 1,00,000 (already paid) |
| Additional pre-deposit at GSTAT (10%) | Rs 1,00,000 |
| Court fee (10 lakhs × Rs 1,000) | Rs 10,000 |
| TOTAL NEW PAYMENT AT GSTAT | Rs 1,10,000 |
Example 3: Large demand (Rs 50 lakh tax)
| Component | Amount |
|---|---|
| Disputed tax | Rs 50,00,000 |
| Pre-deposit at S.107 (10%) | Rs 5,00,000 (already paid) |
| Additional pre-deposit at GSTAT (10%) | Rs 5,00,000 |
| Court fee (50 lakhs × Rs 1,000 = Rs 50,000 → capped) | Rs 25,000 (cap) |
| TOTAL NEW PAYMENT AT GSTAT | Rs 5,25,000 |
Example 4: Demand reduced at first appeal (Rs 10L → Rs 7L)
| Component | Amount |
|---|---|
| Original demand | Rs 10,00,000 |
| First appeal reduced to | Rs 7,00,000 (now disputed at GSTAT) |
| Pre-deposit at S.107 (10% of Rs 10L) | Rs 1,00,000 (already paid) |
| Additional pre-deposit at GSTAT (10% of Rs 7L) | Rs 70,000 (on reduced amount) |
| Court fee (7 lakhs × Rs 1,000) | Rs 7,000 |
| TOTAL NEW PAYMENT AT GSTAT | Rs 77,000 |
Example 5: Penalty-only case (Rs 5L penalty, no tax demand)
| Component | Amount |
|---|---|
| Disputed penalty | Rs 5,00,000 |
| Pre-deposit (10% of penalty-Finance Act 2025 amendment from 1 Apr 2025) | Rs 50,000 |
| Court fee (5 lakhs × Rs 1,000) | Rs 5,000 |
| TOTAL NEW PAYMENT AT GSTAT | Rs 55,000 |
Common Mistakes in Court Fee and Pre-Deposit Payment
| # | Mistake | Consequence | Correct Approach |
|---|---|---|---|
| 1 | Including interest and penalty in pre-deposit base | Overpayment. Excess locked until appeal is decided. | Base = disputed TAX only. Not interest. Not penalty. |
| 2 | Paying court fee through GST portal | Payment not recognized by GSTAT. Deficiency memo. | Pay through Bharatkosh (bharatkosh.gov.in) only. |
| 3 | Paying pre-deposit through Bharatkosh | Not linked to GSTIN. Cannot be verified by GSTAT. | Pay through GST electronic cash ledger or DRC-03. |
| 4 | Computing 20% as a fresh amount (not cumulative) | Overpayment by 10% (double-counting the S.107 deposit). | Cumulative: 10% at S.107 + additional 10% at GSTAT = 20% total. |
| 5 | Not adjusting for demand reduction at first appeal | Pre-deposit calculated on original demand, not reduced amount. | GSTAT pre-deposit base = amount confirmed by First Appellate Authority. |
| 6 | Not attaching pre-deposit proof to filing | Deficiency memo. Appeal not admitted until proof uploaded. | Upload challan/ledger screenshot as PDF in the Documents tab. |
| 7 | Forgetting court fee for penalty-only appeals | Court fee applies to penalty amount too. Missing it = deficiency memo. | Court fee calculated on disputed penalty at Rs 1,000/lakh. |
What If You Cannot Afford the Pre-Deposit?
The 20% pre-deposit is mandatory under Section 112(8). The GSTAT bench does not have statutory discretion to waive it. However, in practice:
Stay application: You can file a stay application under the GSTAT Procedure Rules requesting the bench to stay the remaining demand (the 80% beyond the pre-deposit) pending disposal. The bench considers: prima facie merit of the case, financial hardship, and balance of convenience. If granted, you only pay the 20% pre-deposit; the remaining 80% is stayed until the order is passed.
ITC for pre-deposit (unresolved): In earlier regimes (Excise/Service Tax), pre-deposit through ITC credit was permitted. Under GST, the department insists on cash deposit only. This issue is pending before the Supreme Court. Until resolved, deposit in cash to avoid the risk of the appeal being rejected for non-compliance.
Partial payment at first appeal: If you already paid more than 10% at the S.107 stage (some taxpayers voluntarily pay more to demonstrate good faith), the excess reduces your GSTAT pre-deposit. Example: if you paid 15% at S.107, you only need an additional 5% at GSTAT (total 20%).
Key Takeaways
Court fee and pre-deposit are two separate, mandatory payments with different purposes, different payment channels, and different refundability rules. Court fee is a non-refundable government charge (Rs 1,000/lakh, max Rs 25,000) paid through Bharatkosh. Pre-deposit is a refundable security deposit (20% of disputed tax, cumulative) paid through the GST portal.
Both must be paid before the appeal is admitted. Missing either one results in a deficiency memo that delays admission by 2-4 weeks. Near the 30 June 2026 deadline, this delay can be fatal.
The most common mistakes are: including interest/penalty in the pre-deposit base (overpayment), paying court fee through the GST portal (wrong channel), computing 20% as fresh instead of cumulative (double-counting), and not adjusting for demand reduction at first appeal.
For demands above Rs 25 lakh, the court fee is always Rs 25,000 (cap). The pre-deposit has no cap-it is always 20% of disputed tax. For a Rs 1 crore tax demand, the court fee is Rs 25,000 but the pre-deposit is Rs 20 lakh. The pre-deposit is the larger financial commitment by far.
Need Help with GSTAT Filing Costs?
Our team calculates the exact pre-deposit and court fee for every GSTAT appeal we handle, ensuring no overpayment and no deficiency memos. From merit assessment through pre-deposit computation to complete filing, we provide end-to-end support.
Explore our GSTAT appeal filing (know more) service. For automated pre-deposit computation, use our GSTAT pre-deposit calculation (know more) tool. For the complete filing walkthrough, see how to file a GSTAT appeal (know more).
For queries, reach out at +91 945 945 6700 or WhatsApp us directly.
