The e-Advance Rulings Scheme


The Central government has announced a Scheme that eliminates the necessity for physical presence of the applicant or its authorised representative in front of the Board for Advance Ruling (BAR). This has been announced vide Notification No.S. O 248 (E) dated 18th January 2022. This is an additional step towards the Government's initiative of going 'faceless' for tax proceedings.

The main highlights of the Scheme are:

Whom does it apply to?

It applies to the applications of advance rulings, filed before the BAR and also the applications transferred from the erstwhile AAR to BAR.

How are the applications allotted?

The applications are assigned to the BAR through an automated system using an algorithm for random allocation of cases. Such system is to be formulated by the Principal Director General of Income Tax (Systems) or the Director General of Income Tax (Systems) with the approval of the CBDT.

How will it be communicated?

  1. The application will be made electronically by mail. The future communications between BAR and applicant or Principal Commissioner of Income Tax/ Commissioner of Income Tax will be done only by mail.
  2. The communications with the BAR will be done only through an income-tax authority to be designated by the BAR.
  3. There is no need for the applicant to either personally or through its authorised representatives appear before the BAR.

How will it be conducted?

  1. The applicant will submit the request to the BAR for a hearing through video conference or video telephony. The BAR will allow the request and the income tax authority will provide the link and password for the hearing
  2. The PDGIT (Systems) or the DGIT (Systems) will make the necessary facilities for the same at such locations as may be necessary.

There are no substantial changes in the procedure for seeking advance rulings with regard to forms, submission, powers and functions.