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2021 (2) TMI 1163 - AAR - Income TaxAdvance ruling application u/s 245N - eligibility of deduction under section 80IA - no notice under section 143(2) for the A. Y. 2019-20 issued - Revenue has submitted that the application may not be admitted for the reason that the issue raised in the application was already pending before the Income-tax Authority - HELD THAT:- In the present case, the notice under section 143(2) for AY 2018-19 was issued prior to the filing of the present application which had raised the very specific question of "Deduction Claimed for Industrial Undertaking u/s 80IA"which was subject matter of the present application. As regards objection of the Applicant that no specific issue of pendency was raised in the report of the PCIT, the matter of pendency of the issue before any Income-tax Authority is required to be decided by the Authority while adjudicating the issue of admission of the application. Therefore, the issue of pendency can be brought to our notice even in the course of hearing and which has been done by Ld. DR in this case. Rather the conduct of the Applicant is not found transparent in this case as the fact regarding prior issue of notice under section 143(2) for A.Y. 2018-19 was not mentioned in the application filed before the Authority. As the said notice was received prior to filing of the application the Applicant should have disclosed this fact in the application and the left the issue of 'pendency' for our adjudication. No notice under section 143(2) for the A. Y. 2019-20 - It is found that in the questions raised before us no assessment year is mentioned. Further, the eligibility of deduction under section 80IA has to be decided in the first year of claim. Once the claim is found eligible in the first year of claim the taxpayer is entitled for deduction in all the subsequent years and vice versa. Further, as per the provisions of the Act, it is not necessary that the issues raised in the application should be pending in all the years involved. Even if the issue is pending in a single year, it makes the application ineligible for admission under clause (i) of proviso to section 245R(2) of the Act. Issue involved in the questions raised in the present application filed before us was already pending before the Income-Tax Authority and the bar in terms of clause (i) of Proviso to Section 245R (2) is found attracted in this case. Therefore, the application is not admitted and consequently rejected.
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