Contradictory advance rulings is now a common word in the goods and services tax world as there was a lot of litigation against the indirect tax regime in the appellate authority.
In addition to it, a lot of versions of the same GST provision is quoted in different states across the country by the multiple Authorities for Advance Ruling (AAR) makes the situation more complex.
A number of applications have been filed against the rules and provisions of GST in the AAR shows the seriousness of the matter as there has not much time passed since the implementation of GST.
As much as 363 applications have been filed till now in AAR as reported by the GST council out of which 224 application is in the pending status and to be resolved.
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According to the applications received, Maharashtra comes first on the list with 68 applications, after which Karnataka, Gujarat, Delhi and Tamil Nadu resides.
It is a very important note to form a centralised National Appellate Authority, as multiple decision on the same issue leads to confusion and no trust in the authorities.
According to the recent example, the Maharashtra AAR stated that the procedure of installing solar equipment would attract 18% GST on it, while on the same issue, the Karnataka bench ruled that a 5% rate would be applicable, arising confusions.
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