Section 105 explained: this guide covers what it means, who it applies to, the step-by-step process, documents required, fees, due dates and penalties in India — so you can stay compliant with confidence and avoid costly mistakes.
An advance ruling application is not correspondence. The forum has the powers of a civil court, and the proceeding before it is deemed judicial.
Section 105(1): the Authority, the Appellate Authority or the National Appellate Authority shall, for the purpose of exercising its powers regarding (a) discovery and inspection; (b) enforcing the attendance of any person and examining him on oath; and (c) issuing commissions and compelling production of books of account and other records, have all the powers of a civil court under the Code of Civil Procedure, 1908. 105(2): it shall be deemed to be a civil court for the purposes of s.195, but not for the purposes of Chapter XXVI, of the Code of Criminal Procedure, 1973, and every proceeding before it shall be deemed to be a judicial proceeding within the meaning of s.193 and s.228, and for the purpose of s.196, of the Indian Penal Code.
The three powers
Discovery and inspection. The Authority may require documents to be disclosed and inspected. So an applicant cannot present a curated selection: the Authority can call for the rest.
Enforcing attendance and examining on oath. Any person — the applicant's officers, and potentially others whose evidence is relevant — may be required to attend and be examined on oath.
Issuing commissions and compelling production of books of account and other records. The full production power of a civil court.
These are the same three heads found in s.70 for a summons, and they carry the same weight. Section 70 summons →
The judicial-proceeding deeming, and what it means
"Every proceeding before the Authority... shall be deemed to be a judicial proceeding within the meaning of sections 193 and 228, and for the purpose of section 196, of the Indian Penal Code."
Section 193 IPC — false evidence in a judicial proceeding. Section 228 IPC — intentional insult or interruption to a public servant sitting in a judicial proceeding. Section 196 IPC — using evidence known to be false. The corresponding provisions are now carried into the Bharatiya Nyaya Sanhita, 2023.
And a civil court for s.195 CrPC — the provision governing prosecution for offences relating to documents given in evidence and for contempt of lawful authority of public servants, which requires a complaint by the court concerned. But not for Chapter XXVI — so the Authority does not exercise the wider powers that chapter confers on courts.
The practical significance: what is stated in the ARA-01, in the annexures, in written submissions and at the hearing is said in a judicial proceeding. It is not an informal representation.
That is the same architecture that underlies s.104 — a ruling obtained by fraud, suppression of material facts or misrepresentation is void ab initio. The two provisions work together: s.105 makes the proceeding judicial, and s.104 supplies the consequence for misleading it. Section 104 →
What this means for how an application is prepared
Statements of fact are evidence. Draft the facts in the ARA-01 as you would draft them for a court — precisely, completely, and verifiably.
Verify against the primary documents. Every factual assertion should be traceable to a contract clause, a specification, an invoice or an accounting record, and those documents should be annexed rather than summarised.
Do not overstate. A description that presents the transaction more favourably than the documents support is a misrepresentation risk, not advocacy.
Anticipate discovery. If the Authority called for the whole contract rather than the extract annexed, would the position hold? If not, the extract is the problem.
Brief anyone who may be examined. A person attending the hearing may be examined on oath. They should know the facts, speak from the documents, and not speculate.
Keep the file. The application, annexures, submissions, and the certified ruling under Rule 105 — the whole of it is the record of a judicial proceeding, and it is what answers a s.104 allegation years later.
Section 106: the Authority regulates its own procedure
Section 106: the Authority, the Appellate Authority or the National Appellate Authority shall, subject to the provisions of this Chapter, have power to regulate its own procedure.
"Subject to the provisions of this Chapter" is the limit. The statutory requirements cannot be regulated away:
- the hearing before rejection under the second proviso to s.98(2);
- the reasons for rejection under the third proviso;
- the opportunity of being heard to the applicant and the concerned officer under s.98(4);
- the hearing of the parties to an appeal or reference under s.101(1);
- the hearing before a s.104 order;
- the hearing before a rectification that enhances liability or reduces credit, under the proviso to s.102.
Within those limits, the Authority sets its own procedure — listing, adjournments, the form of submissions, the conduct of hearings, and the manner of appearance.
Which is why the practical guidance is simple: follow the Authority's own directions on filing and appearance precisely, and treat the statutory hearing rights as non-negotiable where they are engaged.
Key takeaways
- Section 105(1) gives the Authority the civil court powers of discovery and inspection, attendance and examination on oath, and compelling production.
- Section 105(2) deems every proceeding a judicial proceeding under s.193, s.196 and s.228 IPC, now carried into the Bharatiya Nyaya Sanhita, 2023.
- It is a civil court for s.195 CrPC, but not for Chapter XXVI.
- Statements in the ARA-01 and at the hearing are evidence, not correspondence.
- Section 105 and s.104 work together — the proceeding is judicial, and misleading it voids the ruling.
- Section 106 lets the Authority regulate its own procedure, subject to the Chapter's hearing requirements.
Read next
- Section 104: When an Advance Ruling Becomes Void Ab Initio
- Section 97(2): The Seven Questions You Can Actually Ask
- Section 70: Summons and the Judicial Proceeding
- Section 98(2): "Already Pending or Decided" — the Admission Bar
Disclaimer: Positions stated as on 5 September 2026, based on the CGST Act as amended to 31 March 2026 (ICAI Bare Law, 12th edition). The references to the National Appellate Authority in sections 105 and 106 were inserted by the Finance (No. 2) Act, 2019 and are effective from a date to be notified.