Sec 104- Advance ruling to be void in certain circumstances

104.1 Introduction
It states the circumstances under which the ruling would be considered as void ab initio. 104.2 Analysis
(i)    If the Authorities (AAR and appellate authority) find that the advance ruling order has been obtained by the applicant/appellant by fraud or suppression of material facts or misrepresentation of facts, it may, by order, declare such ruling to be void ab initio.
(ii)    Consequently, all the provisions of the Act shall apply to the applicant as if such advance ruling had never been made.
(iii)    Before passing the order, an opportunity of being heard should be given to the applicant/appellant.
(iv)    The period beginning with the date of advance ruling and ending with the date of order under this sub-section shall be excluded in computing the period for issuance of Showcause notice and adjudication order under sub-section(2) and (10) of both Section 73 and 74 respectively.
(v)    A copy of the order so made shall be sent to the applicant and the concerned/ jurisdictional officer.
104.3    Comparative review
The provision relating to the circumstances when an advance ruling can be declared void ab initio are more or less the same as those in the current central Indirect Tax laws as contained in section 23F of Central Excise Act, section 28K of Customs Act and section 96F of the Finance Act, 1994 except that under GST laws, an additional criterion of “suppression of material facts” has been added to serve as a basis for declaring an advance ruling void ab initio.
104.4    Related Provisions
Section/Rule/ Form      Description     Remarks
Section 73(2) & 73 (10)     Determination of tax not paid or short paid or erroneously refunded or input tax credit wrongly availed or utilized for any reason other than fraud or any wilful misstatement or suppression of facts     Sub-section 2 deals with time limit for issue of show-cause notice and subsection 10 deals with time limit for issuance of adjudication order.
Section 74(2) & 74 (10)     Determination of tax not paid or short paid or erroneously refunded or input tax credit wrongly availed or utilized by reason of fraud or any wilful misstatement or suppression of facts     Sub-section 2 deals with time limit for issue of show-cause notice and subsection 10 deals with time limit for issuance of adjudication order.
104.5    FAQs
Q1. Can the advance ruling be declared as void without hearing?
Ans. No. Advance ruling cannot be declared as void unless the opportunity of being heard has been given.
Q2. Under what circumstances advance ruling can be declared as void?
Ans. The authority or the appellate authority may declare an advance ruling to be void ab initio if it the applicant or the appellant, as the case may be, has obtained it by fraud, suppression of material facts or misrepresentation of facts.