How Much Deposit Is Needed to File a GST Appeal?
GSTZone Desk · Updated 2026
Short answer
10% of the disputed TAX amount for the first appeal (capped at ₹20 crore under each of CGST and SGST), plus an additional 10% of the remaining disputed tax if you go further to the GST Appellate Tribunal (also capped at ₹20 crore) — interest and penalty are not counted in this calculation.
In detail
The pre-deposit is deliberately calculated only on the disputed TAX portion of a demand, not on any interest or penalty attached to it — a useful distinction, since interest and penalty can sometimes exceed the tax amount itself in an old, contested case.
These percentages were actually reduced by the Finance (No.2) Act 2024 — the first-appeal pre-deposit came down from an earlier 20% (capped at ₹25 crore) to the current 10% (capped at ₹20 crore), and the Tribunal-stage additional deposit was similarly reduced. So if you’re recalling older figures from before this change, they’re now out of date.
One separate, easily confused figure: if goods were detained in transit under Section 129(3), the pre-deposit to appeal THAT specific type of order is 25% of the PENALTY imposed — a completely different calculation from the standard tax-dispute pre-deposit described above.
GSTZone tip
Before calculating your pre-deposit, separate the disputed order into its tax, interest, and penalty components clearly — a lot of miscalculated pre-deposits come from mistakenly including interest or penalty in the 10% base.
Related questions
Can the pre-deposit be paid using input tax credit?+
Yes — for the tax portion of a pre-deposit, payment from the electronic credit ledger is allowed; however, any admitted liability or penalty component must still be paid in cash.
What if I can’t afford even the reduced pre-deposit?+
There’s no general waiver mechanism for the pre-deposit itself — it’s a statutory condition for the appeal to be entertained at all, so the appeal generally cannot proceed without it being paid.
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