Section 101 of GST – Orders of Appellate Authority

GST Act 2017: Section 101 of GST Act 2017 – Orders of Appellate Authority. Check out details for GST Section 101 as per CGST Act 2017. Complete Analysis of GST Section 101, Section 101 of GST provide details for Orders of Appellate Authority. Explanation of Goods and Service Tax all Sections. Check Section Wise Analysis of GST Act 2017, Chapter Wise Analysis of GST All Sections. 

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Section 101 of GST – Orders of Appellate Authority

Statutory provision

(1) The Appellate Authority may, after giving the parties to the appeal an opportunity of being heard, pass such order as it thinks fit, confirming or modifying the ruling appealed against or referred to

(2) The order referred to in sub-section (1) shall be passed within a period of ninety days from the date of filing of the appeal under section 100 or a reference under sub-section (5) of section 98.

(3) Where the members of the Appellate Authority differ on any point or points referred to in appeal or reference, it shall be deemed that no advance ruling can be issued in respect of the question under the appeal or reference.

(4) A copy of the advance ruling pronounced by the Appellate Authority duly signed by the Members and certified in such manner as may be prescribed shall be sent to the applicant, the concerned officer/the jurisdictional officer and to the Authority after such pronouncement.

Related Provisions of the Statute

Section or RuleDescription
Section 95Definitions
Section 97Application for Advance Ruling
Section 99Appellate authority for advance ruling
Section 49Payment of tax, interest, penalty and other amounts
Rule 26Method of authentication

Analysis and Updates

Introduction

This section prescribes the procedure to be followed by the appellate authority where an appeal has been preferred against an advance ruling by the AAR under Section 98(4) or a reference has been made to it by the AAR under Section 98(5).

Analysis

(i) The appellate authority must afford a reasonable opportunity of being heard to the parties before passing the order in which it may choose to either:

  • (a) Confirm the Advance Ruling passed by the AAR;
  • (b) Modify the Advance Ruling appealed against; or
  • (c) Pass such orders as it may deem fit

(ii) The order should be passed within 90 days from the date of filing appeal or date of reference by the AAR.

(iii) If there is a difference of opinion between members of the AAAR on the question covered under the appeal, then it would be considered that no advance ruling can be issued in respect of that matter on which no consensus was reached by the members. Thus, all matters or questions for which an advance ruling has been sought will not be deemed to be matters against which no advance ruling can be passed if the Appellate Authority has reached a consensus on other matters or questions raised therein.

Section 101

Issues and Concerns

  •  Is the Appellate Authority for Advance Ruling empowered to only decide on such matters contained in the Advance Ruling against which the appellant is aggrieved or can the appellate authority review the entire impugned Advance Ruling against which an appeal has been preferred?
  • Where the advance ruling has been issued by the AAR under Section 98(4) of the Act and the same has been the subject matter of an appeal before the Appellate Authority, what is the status of the original ruling during the interim period until the appeal has reached finality? Would the appellants and other parties to the advance ruling be obliged to conform to the advance ruling during the interim period?
  • Where an advance ruling given by the AAR has been appealed against and in respect of which the members of the Appellate Authority have not been able to reach a conclusion, would such a question or matter still be deemed to be a matter against which no advance ruling can be issued although the AAR had originally decided on the issue?
  • Can the ruling by the Appellate Authority be challenged in a higher Court of law?
  • It is important to note that there is no time limit that has been prescribed for making a reference to the Appellate Authority.

Frequently Asked Questions

What is the time limit for passing of an order by the appellate authority for advance ruling?

The time limit for passing of an order by the appellate authority for advance ruling is 90 days from the date of filing of appeal.

Under what circumstances, advance ruling cannot be issued in respect of the question covered under the appeal?

If members of the appellate authority differ on any point or points of the question referred to them in appeal under 101(3), then it shall be deemed that no advance ruling is issued in respect of the question covered under the appeal.

Can the ruling by the Appellate Authority be challenged in a higher Court of law?

The CGST/SGST Act clearly states that the Advance Ruling shall be binding on the applicant in respect of any matter on which the Advance ruling has been sought and as such it does not provide for any appeal against the ruling of Appellate Authority for Advance Rulings. Thus no further appeals lie and the ruling shall be binding on the applicant as well as the jurisdictional officer in respect of applicant. However, Writ Jurisdiction may lie before Hon’ble High Court or the Supreme Court.

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