Form 120: Application for an advance ruling under section 383(1)
Source checked 21 October 2026 · Original author: Finin2min Editorial Desk
Purpose, person and period
Application for an advance ruling under section 383(1).
The eligible resident or non-resident applicant seeks a ruling in Form 120, selecting the statutory applicant/transaction category and supplying indexed facts, legal interpretation, agreement, ownership and fee evidence.
Period gate: This numbered form belongs to the Income-tax Rules, 2026, effective 1 April 2026. The predecessor 34C, 34D, 34DA, 34E, 34EA is a concordance, not permission to change an earlier-year filing into a new-law form. For earlier periods, use the applicable 1961 Act form and saved procedure.
Controlling rule and source pages
Rule 200; Section 383, Section 383(1), Section 380(a). Physical PDF pp 702-707; printed Gazette pp 2234-2239.
Rule 200 — connected rule text
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 d igital 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 sign ed 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 applicab le, shall be accompanied by the proof of payment of fees as specified in sub-rule (2).
Completed field illustration
Fictional data, not for filing. A fictional non-resident company seeks an advance ruling on a proposed Indian service transaction below Rs 100 crore.
| Form field / block | Completed fictional entry |
|---|---|
| Part A: applicant / status / country / incorporation | Example Overseas Technology Ltd / company / United Kingdom / 1 April 2016, assumed |
| PAN / address / foreign identity / representative | No Indian PAN in model / 10 Example Street, London / MODEL-UK-TIN-120 / Priya Arun Sharma at 10 Model Road, Pune |
| Business / supporting constitution | Software services / model foreign memorandum reference, not a real certified document |
| Part B: residence / DTAA / route | Non-resident, assumed foreign incorporation and management with model evidence / India-UK treaty if relevant / transaction proposed by non-resident applicant |
| Question / relevant facts | Whether the specifically described proposed service fee is chargeable in India on the stated contract, work location and PE facts; no chargeability answer is fabricated |
| Part C: contract / transaction / period | MODEL-SERVICES-120 / Rs 50,00,000 / TY 2027-28, prospective hypothetical |
| Fee / payment reference | Rs 2,00,000 under Rule 200(2) non-resident category below Rs 100 crore / MODEL-FEE-120 only |
| Non-resident parties / ownership map | One applicant, assumed directly owned by two fictional individuals 60% and 40%; model beneficial-owner chart, no hidden parent entity assumed |
| Prior similar decision / pending BAR matter / publication | No / No / Yes to anonymised publication, assumed selections |
| GAAR / notified-resident pending-issue branches | Not selected |
| Verification / document index | Model facts, legal interpretation, contract, ownership and non-residence evidence indexed / NOT SIGNED |
This illustrates the named fields, not every possible schedule. Use the complete official extract for additional applicable fields, annexures and verification. “Not signed” means no professional certification or authority action has occurred.
Reconcile the example
- 60% + 40% = 100% direct ownership in the stated hypothetical structure.
- Rs 50 lakh is below Rs 100 crore for the selected Rule 200 fee category; the fee is not a chargeability or eligibility conclusion.
An application is not an admission order or binding ruling. Actual pending-proceeding, valuation and avoidance exclusions, applicant category and evidence must be examined; no treaty rate or PE conclusion is supplied by this model.
Prepare, furnish and retain
- Use the form identity and period above, then determine the person who prepares, issues or verifies it from Rule 200. An authority-issued order is not an applicant filing.
- Collect the records that support the actual fields in the example; keep any mandatory schedules and annexures specified in the complete source form.
- Reconcile dates, amounts, units and identifiers to the underlying records. Preserve the applicable rule version and any later correcting notification.
- Where the rule prescribes electronic furnishing, use the current official utility/schema and authorised verification. A local PDF does not produce a portal acknowledgement.
- Retain the submitted version, supporting schedules and actual acknowledgement or issued certificate/order, as applicable. This fictional model supplies none of those evidential outcomes.
Download the correct documents
Official Form 120 source extract Filled sample — fictional field illustration
The official extract preserves source pages; later amendments are supplied with affected forms. Read the April corrigendum where its printed-page corrections apply. The filled field illustration is an educational model and cannot be filed.
Primary sources
Questions readers ask
Does this sample prove approval, filing or a professional conclusion?
No. It completes the named fields using synthetic facts. It has no real signature, DSC, approval or acknowledgement.
Can I use the legacy form number for a current tax-year obligation?
Establish the governing period first. A predecessor number is a cross-reference; earlier-year procedures and current-year forms must be kept distinct.