GST Jamku AIAdvance ruling to be void in certain circumstances.
Section 104(1)
Where the Authority or the Appellate Authority [or the National Appellate Authority] finds that advance ruling pronounced by it under sub-section (4) of section 98 or under sub-section (1) of section 101[or under section 101C] has been obtained by the applicant or the appellant by fraud or suppression of material facts or misrepresentation of facts, it may, by order, declare such ruling to be void ab initio and thereupon all the provisions of this Act or the rules made thereunder shall apply to the applicant or the appellant as if such advance ruling had never been made:
Provided that no order shall be passed under this sub-section unless an opportunity of being heard has been given to the applicant or the appellant.
Explanation.—The period beginning with the date of such advance ruling and ending with the date of order under this sub-section shall be excluded while computing the period specified in sub-sections (2) and (10) of section 73 or sub-sections (2) and (10) of section 74.
Advance Rulings: Nullification under Specific Circumstances
In certain situations, an advance ruling can be declared void. Section 104(1) outlines the conditions under which the Authority or the Appellate Authority [or the National Appellate Authority] can make such a declaration.
Fraud, Suppression, or Misrepresentation
If the Authority or the Appellate Authority discovers that an advance ruling, given under sub-section (4) of section 98 or sub-section (1) of section 101 [or under section 101C], was obtained through fraud, suppression of material facts, or misrepresentation of facts by the applicant or the appellant, it has the power to declare that ruling void ab initio.
Consequences of Void Ruling
Upon such a declaration, all the provisions of the relevant Act or the rules made thereunder will apply to the applicant or the appellant as if the advance ruling had never been made. This means that the legal effects of the ruling are nullified.
Procedural Safeguard
However, before such a declaration is made, the Authority or the Appellate Authority must provide the applicant or the appellant with an opportunity to be heard. This procedural safeguard ensures fairness in the process.
Exclusion of Time Period
It's important to note that the time period between the date of the advance ruling and the date of the order under this sub-section will be excluded when calculating the specified periods in other sections of the Act. Specifically, the periods mentioned in sub-sections (2) and (10) of section 73 or sub-sections (2) and (10) of section 74 will not include this excluded time period.
In summary, the voiding of an advance ruling under Section 104(1) is a measure taken in cases of fraud, suppression of facts, or misrepresentation. This legal provision ensures that the consequences of such a ruling are erased, subject to a fair hearing for the affected party. Additionally, the exclusion of the time period between the advance ruling and the order provides clarity on the computation of specified periods in other sections of the Act.
Section 104(2)
A copy of the order made under sub-section (1) shall be sent to the applicant, the concerned officer and the jurisdictional officer.
Voiding an Advance Ruling
Sometimes, an advance ruling may no longer be applicable. Section 104(2) outlines the process when this happens. When an order is issued under sub-section (1), it is crucial to share copies of the order with the applicant, the concerned officer, and the jurisdictional officer.
Distribution of Order Copies
To ensure transparency and communication, Section 104(2) emphasizes the need to send copies of the order to key parties involved. This includes the applicant who sought the ruling, the officer responsible, and the officer with jurisdiction over the matter.