(1) Subject to such rules as may be made by State Government under this Act any dealer objecting to an order of assessment or penalty or both passed by the prescribed authority against him, or a person objecting to an order of penalty passed against him other than an order under Section 46, may Appeal to the Joint Commissioner or the Deputy Commissioner specially authorised in this behalf.

(2) And where an order of assessment or penalty against a dealer has been passed under this Act by an authority other than the prescribed one as a consequence of the proceeding having been transferred by the prescribed authority under sub-Section 3 of Section 4, the dealer may Appeal in the prescribed manner to the authority next above the officer passing that order, not being an authority below the rank of a Joint Commissioner.

(3) No appeal under sub-section (1) or (2) of Section 79 shall be admitted unless the appellant objecting to an order of assessment or reassessment has paid in full the amount of tax and interest as is admitted by him and a sum equal to ten percent of the remaining amount of tax and interest in dispute arising from the said impugned order in relation to which the appeal is filed.

Provided that if the appellate authority is satisfied that there exists sufficient ground, he may, on application exempt the appellant from paying ten percentum of the disputed amount of tax and interest or reduce the said amount of 10%for admission of the appeal and the reason for doing so shall be recorded in the order.

(4) Every appeal under this Section shall be filed within sixty days of the receipt of the notice of demand but where the appellate authority is satisfied that the appellant had sufficient reason for not preferring Appeal within time, it may condone the delay.

(5) The appellate authority, while disposing of an appeal against an order, other than an order under Section 46, may

(a) (i) confirm, annul, reduce, enhance or otherwise modify such order; or

(ii) set aside the order directing the authority to make fresh order, after further enquiry on such points as may be directed; and

(b) in other cases pass such order as it may, for reasons to be recorded in writing, deem fit.

(6) No order under this Section shall be passed without giving reasonable opportunity of hearing to the appellant, as also the authority whose order has been appealed against.

(7) No order under this section shall be made after the expiry of two years from the date of filing of such appeal.