Litigation & Representation

Most tax notices carry a response period, and most of them are shorter than they appear. The single most consequential decision in a tax dispute is usually made in the first week — before any argument is advanced, in the choice of what goes on record and what does not.

A reply filed quickly but loosely tends to define the shape of the dispute for every stage that follows, because the appellate authority reads the file from the beginning. So does silence.

What the work covers

Income tax

• Replies to notices issued in the course of processing, scrutiny and reassessment proceedings
• Representation in faceless assessment and faceless appeal proceedings, including submissions, document production and video-conference hearings
• Rectification applications and response to demands raised on intimation
• Appeals before the Commissioner (Appeals), and preparation of the grounds of appeal, statement of facts and paper book
• Support in proceedings before the Appellate Tribunal

A transitional note: the Income-tax Act, 2025 took effect on 1 April 2026, but proceedings that commenced under the 1961 Act continue under it. Matters straddling the change require the correct Act to be cited at each stage.

Goods and services tax

• Replies to scrutiny notices, discrepancy notices and audit observations
• Show cause notices and representation in adjudication proceedings
• Appeals before the first appellate authority
• Appeals before the GST Appellate Tribunal, which commenced adjudicatory operations in 2026 and now hears matters through its Principal Bench and State Benches, with filing conducted electronically
• Detention of goods and vehicles in transit — see below

Goods detained in transit

This is the most time-critical matter in the entire practice, and it is worth setting out separately.

Where goods or a conveyance are detained, the enterprise faces an immediate commercial problem — a consignment stopped, a vehicle held, a customer waiting — alongside a legal one. The two pull in opposite directions. Paying quickly to release the goods can foreclose positions that would have been available; holding out for the correct position can cost more in delay than the tax in dispute.

Most detentions turn on a documentary defect rather than an intention to evade — an expired e-way bill, an address mismatch, a vehicle number not updated after a breakdown. That distinction materially affects both the quantum and the remedy, and it is established by what is placed on record at the outset.

How a matter is handled

1. Read the notice properly. Which provision it is issued under, what period it covers, what it actually asks for, and by when. A surprising proportion of notices are answered against the wrong question.

2. Establish the limitation position. Whether the notice is within time, and what the deadline is for the response and for any appeal that may follow. This is determined first because it is the one thing that cannot be recovered.

3. Assemble the record. The reply is built from documents, not assertions. Where a document does not exist, that is identified early enough to do something about it.

4. Advise on the position honestly. Including where the department's position is likely to be upheld. Knowing that a matter is weak is valuable information — it changes whether to contest, settle, or seek to limit the penalty rather than the tax.

5. File and represent. Submission within time, appearance at hearings including faceless proceedings, and follow-through to the order.

Frequently asked questions

I have received a notice. How long do I have?
It depends on the provision. Some carry a stated period of days; others require compliance by a specified date. Extension is sometimes available on application and sometimes not. The date should be confirmed the day the notice is received.

Can I ignore a notice if I believe it is wrong?
No. An unanswered notice is typically decided ex parte on the department's own material, and the resulting order then has to be appealed — with a pre-deposit requirement, a limitation period, and a much weaker record.

What does an appeal cost me before it is even heard?
GST appeals require a statutory pre-deposit of a proportion of the disputed tax before the appeal is admitted. The proportion differs by appellate stage, and the position is confirmed for the specific matter. Income tax appeals carry a filing fee but not an equivalent pre-deposit, though recovery may need to be separately addressed.

Is the GST Appellate Tribunal actually functioning now?
Yes. It commenced adjudicatory operations in 2026, with the Principal Bench at New Delhi and State Benches becoming functional in phases, including in Uttar Pradesh. Filing is fully electronic. For matters that had been stranded for want of a tribunal, this changes the available options materially.

Can a Chartered Accountant appear before these forums?
Yes. A Chartered Accountant holding a certificate of practice is an authorised representative before the income tax authorities and the Tribunal, and before the GST authorities and the GST Appellate Tribunal. Matters proceeding to the High Court or Supreme Court are conducted by counsel, with support provided on the factual and computational record.

General information only, not professional advice, and not a representation as to the outcome of any proceeding.