Rule 200: Advance ruling application in Form 120 and fees
Rule 200 governs applications to the Board for Advance Rulings under section 383(1). Resident and non-resident applicants use Form No. 120, pay the fee in the Table in sub-rule (2), file electronically with signature or digital signature as set out in sub-rule (3), and attach proof of fee payment.
Official notified Income-tax Rules, 2026Need advice on Rule 200?
This article is for general information. Read the official Rules and applicable Act amendments, including the Taxation and Other Laws (Amendment) Act, 2026. If you need professional advice for your situation, contact Bizeneed.
On this page
Bare law
Rule 200 - Application for obtaining an advance ruling under section 383
(1) An application for obtaining an advance ruling under section 383(1), shall be made by a resident or a non- resident applicant in Form No. 120 and verified in the manner indicated therein in accordance with this rule.
(2) The fees payable along with the application for advance ruling shall be in accordance with the following Table:
Table S. No. Specific condition or category as per Chapter XVIII-D (2) Amount of transaction of one or more transaction for which ruling is sought Fee A B C D 1. Seeking advance rulings in relation to the tax liability arising out of a transaction undertaken or proposed to be undertaken by a non-resident applicant under sub-clause (i) of section 380(a) or resident applicant under sub-clause (ii) thereof. Amount less than one hundred crore rupees. ₹200000 Amount between one hundred crore rupees and three hundred crore rupees. ₹500000 Amount more than three hundred crore rupees. Ten lakh rupees 2. Seeking advance rulings in relation to the tax liability of a resident applicant, arising out of a transaction undertaken or proposed to be undertaken by a resident applicant under section 380(a)(iii) Amount between one hundred crore rupees and three hundred crore rupees. ₹500000 Amount more than three hundred crore rupees. Ten lakh rupees 3. Any other applicant In all cases ₹10000 (3) The application referred to in sub rule (1), the verification appended thereto, the annexures and the statements and documents accompanying the application shall be furnished electronically and shall be signed or digitally signed in the following manner:— (a) where the applicant is a person required to furnish a return of income under the Act, the application and accompanying documents shall be signed or digitally signed by the person who is authorised to verify such return under section 265, and shall be furnished electronically— (i) under digital signature, if the return of income is required to be furnished under digital signature; or (ii) through electronic verification code, in any other case; or (b) where the applicant is not a person required to furnish a return of income under the Act, the application and accompanying documents shall be signed or digitally signed by any person duly authorised by the applicant for this purpose and holding a valid power of attorney, and may be furnished using digital signature or electronic verification code as specified by the Board.
(4) Every application in the Form, as applicable, shall be accompanied by the proof of payment of fees as specified in sub-rule (2).
Rule breakdown
Form and verification
Rule 200(1): the application is made in Form No. 120 by a resident or non-resident applicant and verified in the manner indicated in the Form.
Fee table
Row 1 covers advance rulings on tax liability arising out of a transaction by a non-resident applicant under section 380(a)(i) or a resident applicant under sub-clause (ii): ₹200000 where the transaction amount is less than one hundred crore rupees, ₹500000 between one hundred and three hundred crore rupees, and ten lakh rupees where it is more than three hundred crore rupees.
Row 2 covers a resident applicant's own tax liability under section 380(a)(iii): ₹500000 between one hundred and three hundred crore rupees and ten lakh rupees above three hundred crore rupees. As printed, row 2 has no band for amounts below one hundred crore rupees. This draft does not infer which fee applies to such an amount; confirm with the Board for Advance Rulings or current official guidance.
Row 3, any other applicant: ₹10000 in all cases.
The table uses "between" and "more than" without stating where exactly one hundred or three hundred crore rupees falls; confirm the applicable band in borderline amounts.
Electronic filing and signature
The application, verification, annexures, statements and documents are furnished electronically.
If the applicant must furnish a return of income, they are signed or digitally signed by the person authorised to verify the return under section 265, and furnished under digital signature where the return requires it, otherwise through electronic verification code.
If the applicant need not furnish a return, they are signed or digitally signed by a person duly authorised by the applicant holding a valid power of attorney, using digital signature or EVC as specified by the Board.
Steps
Identify the applicant category under section 380 and the corresponding row of the fee table.
Compute the amount of the transaction or transactions for which ruling is sought and pick the band.
Pay the fee; Rule 200(4) requires the proof to accompany the application.
Prepare Form No. 120 with annexures, sign as required by Rule 200(3), and file electronically.
Key takeaways
Form No. 120
For resident and non-resident applicants.
Fee depends on category and amount
From ₹10000 for any other applicant up to ten lakh rupees above three hundred crore rupees.
Electronic only
Application and documents are furnished electronically with proof of fee.
Practical checklist
- Map the applicant to section 380(a) before choosing the fee row.
- Use digital signature where the return of income is required to be furnished under digital signature.
Avoid
- Do not guess a fee for a row 2 amount below one hundred crore rupees; seek official confirmation.
- Do not file on paper; Rule 200(3) requires electronic furnishing.
FAQs
Which form is used for an advance ruling application?
Form No. 120 under Rule 200(1).
What fee applies for a non-resident transaction of ₹50 crore?
Under row 1 of the table, an amount less than one hundred crore rupees attracts ₹200000, provided the application falls in row 1.
Who signs if the applicant does not have to file a return?
A person duly authorised by the applicant holding a valid power of attorney, under Rule 200(3)(b).
Must the fee proof be attached?
Yes. Rule 200(4) requires every application to be accompanied by the proof of payment of fees.
Glossary
- Advance ruling
- A determination by the Board for Advance Rulings of the kind defined in section 380(a).
- EVC
- Electronic verification code.
- Board for Advance Rulings
- The Board constituted under section 381.