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(1) Subject to section 104, the Commissioner-General may, on an application in writing by a person, issue to that person a private ruling or a class ruling setting out the position of the Commissioner-General regarding the application of a tax law with respect to an arrangement proposed or entered into

(a) in the case of a private ruling, by the person; or

(b) in the case of a class ruling, by persons in a specified class.

(2) A private or class ruling may apply to multiple arrangements and multiple tax laws.

(3) Subject to subsection (4), a private or class ruling is binding on the Commissioner-General with respect to the application of a tax law mentioned in the ruling to an arrangement of

(a) the applicant, in the case of a private ruling; and

(b) a person in the specified class, in the case of a class ruling.

(4) A private or class ruling under subsection (1) is binding only

(a) if prior to the issuance of the ruling

(i) the applicant makes a full and true disclosure of all aspects of the arrangement relevant to the ruling to the Commissioner-General; and

(ii) the arrangement proceeds in all material respects as described in the application for the ruling;

(b) if the ruling is headed “private ruling” or “class ruling” as the case requires; and

(c) for the period specified in the ruling.

(5) A private or class ruling does not bind

(a) the applicant or any other person; or

(b) the Commissioner-General with respect to any person other than,

(i) in the case of a private ruling, the applicant or,

(ii) in the case of a class ruling, persons in the specified class.

(6) A private or class ruling is not subject to challenge but a person may challenge a tax decision made with respect to an arrangement which is the subject of a private or class ruling.

(7) For the purpose of this section, a class of persons includes

(a) persons holding a particular class of membership interest in an entity; and

(b) persons that, in the opinion of the Commissioner-General, may be identified as commonly situated with respect to the application of particular provisions of a tax law.

(8) The Commissioner-General may charge a fee for a private or class ruling issued to an applicant.

(9) A fee for a private or class ruling shall be based on the cost structure of similar legal or tax advisors and shall be paid before the ruling is communicated to the applicant.