A centralised Authority for the advance ruling is under discussion, to maintain a single platform for all the rulings of similar nature done in the different states. The issues raised in different states must be of same nature get it noticed by the central appellate.
A government official told that “We are looking at an issue-based central authority with officials from states and the Centre, If more than one appeal is filed on the same issue in different jurisdictions it can be taken up by this body.”
The main reason for creating a nationalised authority of advance ruling is to maintain decorum within the cases related to the same issues arising from different states.
Recently Maharashtra AAR gave the judgment of 18% tax on solar projects in works contracts as a deemed supply whereas Karnataka AAR made this a concessional supply and levied 5% rate on it.
So that many of the tax experts are saying that, “In such a scenario, a mechanism needs to be created where all AARs should be listed on the GST portal and in case of similar applications, the state AAR should refer it to the central AAR.”
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In many cases, the taxpayer had taken the consent of AARs due to the varied decisions of government bodies, so it is likely that all the taxpayer community will back the centralized AAR appellate for the faster resolution of the issues.
