Tax Consultant

Section 107 of CGST Act, 2017 – Appeals to Appellate Authority Updated on: February 2026 (as applicable till date) Prepared by: Yours Tax Consultant 1. Objective of Section 107 Section 107 provides the statutory right to file an appeal against orders passed by GST adjudicating authorities before the Appellate Authority . It is the first appellate stage in the GST dispute resolution mechanism. 2. Orders Appealable under Section 107 Any person aggrieved by: An order passed by an adjudicating authority under this Act Any decision or order passed under GST law may appeal to the Appellate Authority, except orders specifically excluded (e.g., orders under Section 129/130 in certain situations as notified). 3. Statutory Provision – Section 107 (Overview) Section 107(1): Any person aggrieved by any decision or order passed under this Act by an adjudicating authority may appeal to such Appellate Authority as may be prescribed within three months fr...

Section 106 of CGST Act, 2017 – Procedure of Authority and Appellate Authority Updated on: February 2026 (as applicable till date) Prepared by: Yours Tax Consultant 1. Objective of Section 106 Section 106 provides that the Authority for Advance Ruling (AAR) and the Appellate Authority for Advance Ruling (AAAR) shall be guided by the principles of natural justice and have the power to regulate their own procedure. This section gives procedural flexibility while ensuring fairness. 2. Statutory Provision – Section 106 Section 106: The Authority or the Appellate Authority shall, subject to the provisions of this Chapter, have power to regulate its own procedure in all matters arising out of the exercise of its powers or of the discharge of its functions. 3. Meaning of “Regulate Its Own Procedure” This power allows AAR and AAAR to: Decide manner of hearings Fix dates and timelines Prescribe filing requirements Determine sequence of submissions ...

  Section 105 of CGST Act, 2017 – Powers of Authority and Appellate Authority Act: Central Goods and Services Tax Act, 2017 Chapter: XVII – Advance Ruling Section Covered: Section 105 Effective From: 01st July 2017 🔎 Introduction Section 105 of the CGST Act, 2017 defines the powers of: • Authority for Advance Ruling (AAR), and • Appellate Authority for Advance Ruling (AAAR). This provision grants them powers similar to those of a civil court for the purpose of conducting proceedings and ensures that advance ruling proceedings are treated as judicial proceedings. It strengthens the legal authority and procedural framework of the Advance Ruling mechanism. 📜 Bare Provision – Section 105 (Key Highlights) 1️⃣ The Authority and Appellate Authority shall have powers of a civil court under the Code of Civil Procedure, 1908 for the purpose of: Discovery and inspection Enforcing attendance of any person Examining on oath Issuing commissions Compelling production...

  Section 104 of CGST Act, 2017 – Advance Ruling to be Void in Certain Circumstances Act: Central Goods and Services Tax Act, 2017 Chapter: XVII – Advance Ruling Section Covered: Section 104 Effective From: 01st July 2017 🔎 Introduction Section 104 of the CGST Act, 2017 provides that an advance ruling shall be declared void if it has been obtained by fraud, suppression of material facts, or misrepresentation. While Section 103 makes advance ruling binding, Section 104 acts as a safeguard against misuse of the advance ruling mechanism. This provision protects the revenue from abuse of process. 📜 Bare Provision – Section 104 (Key Highlights) 1️⃣ Where the Authority or Appellate Authority finds that an advance ruling was obtained by: Fraud; or Suppression of material facts; or Misrepresentation of facts It may, by order, declare such ruling as void ab initio. 2️⃣ Before declaring ruling void, opportunity of being heard must be given to the applicant. 3️⃣ O...

  Section 103 of CGST Act, 2017 – Applicability of Advance Ruling Act: Central Goods and Services Tax Act, 2017 Chapter: XVII – Advance Ruling Section Covered: Section 103 Effective From: 01st July 2017 🔎 Introduction Section 103 of the CGST Act, 2017 defines the binding nature and applicability of an advance ruling . While earlier sections deal with application, appeal and rectification, this provision clarifies: • On whom the advance ruling is binding • To what extent it applies • When it ceases to remain binding This section is crucial for understanding the legal effect of advance rulings. 📜 Bare Provision – Section 103 (Key Highlights) 1️⃣ An advance ruling pronounced by the Authority or the Appellate Authority shall be binding only: On the applicant who sought it; and On the concerned officer or jurisdictional officer in respect of the applicant. 2️⃣ The ruling shall be binding unless: The law, facts, or circumstances supporting the ruling have cha...

  Section 102 of CGST Act, 2017 – Rectification of Advance Ruling Act: Central Goods and Services Tax Act, 2017 Chapter: XVII – Advance Ruling Section Covered: Section 102 Effective From: 01st July 2017 🔎 Introduction Section 102 of the CGST Act, 2017 provides the power to rectify mistakes in an advance ruling order. This provision ensures that minor or apparent errors in: • Orders of Authority for Advance Ruling (AAR), or • Orders of Appellate Authority for Advance Ruling (AAAR) can be corrected without requiring fresh proceedings or appeal. 📜 Bare Provision – Section 102 (Key Highlights) The Authority or the Appellate Authority may amend its order: ✔ To rectify any error apparent on the face of the record ✔ Within a period of six months from the date of the order Such rectification may be: • Suo moto (on its own motion), or • When error is brought to its notice by the applicant, concerned officer, jurisdictional officer, or the Commissioner However, No ...

  appeal. Q7. Is written order mandatory? Yes. Q8. To whom is order communicated? Applicant, concerned officer, and jurisdictional officer. Q9. Can new issues be introduced in appeal? Generally limited to issues raised in original ruling. Q10. Why is Section 101 important? Because it provides final appellate determination in advance ruling system. 📝 Conclusion Section 101 of the CGST Act, 2017 governs the decision-making process of the Appellate Authority for Advance Ruling. It ensures time-bound disposal, mandates hearing of parties, and clearly defines the consequences where members agree or disagree. This provision strengthens the credibility and certainty of the Advance Ruling mechanism under GST law by providing a structured and balanced appellate framework.

  • Appeal must be filed in prescribed form. • Prescribed fee is payable by applicant. • No fee is required when appeal is filed by department. 📖 Practical Illustration Example 1 – Appeal by Taxpayer AAR rules that a product attracts 18% GST instead of 12%. The applicant disagrees. ➡ Appeal must be filed within 30 days before AAAR under Section 100. Example 2 – Appeal by Department AAR holds that certain supply is exempt from GST. Department believes ruling is legally incorrect. ➡ Jurisdictional officer files appeal within prescribed time. ⚖️ Judicial Interpretation of Section 100 Courts have emphasized that: • Time limit under Section 100 is mandatory. • Condonation cannot exceed additional 30 days. • AAAR cannot entertain appeal beyond statutory limit. High Courts have consistently held that statutory time limits must be strictly complied with in fiscal statutes. 🔄 Section 100 in Advance Ruling Mechanism Stage Provision Application Section 97 Procedure S...

  • The jurisdictional officer is aggrieved by the ruling of AAR, they may appeal before the Appellate Authority constituted under this section. 🏛 Composition of Appellate Authority (AAAR) Each State / UT has its own AAAR. The authority consists of: ✔ One Central Tax Member ✔ One State/UT Tax Member This ensures balanced representation of both tax administrations. 📌 Purpose of Section 99 The objective is to: • Provide appellate remedy • Ensure legal consistency • Correct errors of AAR • Strengthen taxpayer confidence Without Section 99, advance ruling would have been a single-stage mechanism. 🔄 Two-Tier Advance Ruling Mechanism Stage Authority First Level Authority for Advance Ruling (AAR) Second Level Appellate Authority for Advance Ruling (AAAR) Section 99 establishes the second level. 📖 Practical Illustration Example A company receives an unfavorable advance ruling from AAR regarding classification of goods. The company believes the ruling is incorr...

  Section 98 of CGST Act, 2017 – Procedure on Receipt of Application Act: Central Goods and Services Tax Act, 2017 Chapter: XVII – Advance Ruling Section Covered: Section 98 Effective From: 01st July 2017 🔎 Introduction Section 98 of the CGST Act, 2017 lays down the procedure to be followed by the Authority for Advance Ruling (AAR) after receiving an application under Section 97. This section ensures that applications are properly examined, admitted or rejected in accordance with law, and decided within a prescribed time limit. It safeguards both taxpayer rights and departmental interests. 📜 Bare Provision – Section 98 (Key Points) Upon receipt of an application: 1️⃣ The Authority shall forward a copy of the application to the concerned officer. 2️⃣ The Authority may call for relevant records from the concerned officer. 3️⃣ After examining the application and records, and after hearing the applicant and concerned officer, the Authority may either: Admit the ...