2004 (2) TMI 1

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..... we have perused the application, the comments received from the Commissioner and having perused the technical note tentatively we are of the opinion that the application is liable to be rejected. A notice in terms of the second proviso to sub-section (2) of Section 96D shall be issued to the applicant to explain as to why the application should not be rejected on the grounds : (a) that the activity has already been commenced and therefore is not the one which is proposed to be undertaken. (b) that the question now raised before the Authority is pending consideration of the Central Excise Officer. 2.  Mr. Sridharan, learned Counsel, appearing for the applicant takes notice and requests for waiver of issuing of written notice to the .....

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.....  "advance ruling" means the determination by the Authority of a question of law or fact specified in the application regarding the liability to pay service tax in relation to a service proposed to be provided, by the applicant; (b) "applicant" means - (i) a non-resident setting up a joint venture in India in collaboration with a non-resident or a resident; or (ii) a resident setting up a joint venture in India in collaboration with a non-resident; or (iii) a wholly owned subsidiary Indian Company, of which the holding company is a foreign company, who proposes to undertake any business activity in India and makes application for advance ruling." 6.  Now adverting to the expression "advance ruling", referred to above, it means .....

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..... ring the latter part of sub-clause (b) of Section 96A which says that the applicant "who proposes to undertake any business activity in India and makes application for advance ruling". The words 'proposes to undertake' read with sub-clause (iii) afore-mentioned unmistakeably indicates that the activity ought not have been begun as on the date of filing of the application. 8.  In the instant case, the applicant, M/s. McDonald's India Private Ltd., entered into Franchise Agreement with Hardcastle Restarurants Private Ltd. and Amit Jatia, a citizen of India, and with Connaught Plaza Restaurants Pvt. Ltd. and Vikram Bakshi, under which Franchise, the right, licence and privilege were granted for a period of 20 years from the d .....

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