Statutory authority cannot review its own clarification without express power; withdrawal of the earlier ruling was quashed.

Under Section 94 of the Kerala Value Added Tax Act, the authority issuing a clarification could not withdraw its own earlier clarification in the absence of an express statutory power of review. The statute vested cancellation or modification of a clarification in the Commissioner under Section 94(7), while Section 94(8) allowed an earlier clarification to be treated as void ab initio only on proof of fraud or misrepresentation of facts. Because those statutory conditions were not invoked, the unilateral withdrawal was without authority and was quashed to that extent.

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Issues: Whether the authority for clarification under Section 94 of the Kerala Value Added Tax Act, 2003 could withdraw its earlier clarification in the absence of a statutory power of review, and whether such withdrawal was sustainable when the grounds suggested by the Revenue did not invoke Section 94(8).

Analysis: The earlier clarification had been issued by the same authority and was subsequently withdrawn by the impugned order. The statutory scheme under Section 94 shows that the power to cancel or modify a clarification is vested in the Commissioner under Section 94(7), while Section 94(8) permits treating an earlier clarification as void ab initio only where fraud or misrepresentation of facts is established. Since the authority for clarification does not possess an inherent power of review, it could not unilaterally withdraw its own earlier order merely because the earlier clarification was thought to be irregular or contrary to an existing judgment. Any challenge to the legality of the earlier clarification had to be taken before the competent judicial forum, rather than by the authority reviewing its own decision.

Conclusion: The withdrawal of the earlier clarification was authority of law and was quashed to that extent; the assessee succeeded on this issue.

Final Conclusion: The impugned order could not sustain the withdrawal of the earlier clarification, and the writ petition was allowed to that limited extent.

Ratio Decidendi: A statutory authority cannot review or withdraw its own earlier order unless the statute expressly confers that power, and an earlier clarification can be invalidated only in the manner provided by the governing provision.

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