Explain the correctness or otherwise of the following statements giving proper reasons thereof: (i) Mr. Jatin, a resident individual, is aggrieved…
CA Final · Direct Tax Laws and International Taxation · MTP · November 2026
Explain the correctness or otherwise of the following statements giving proper reasons thereof: (i) Mr. Jatin, a resident individual, is aggrieved by an order passed by the Board for Advance Ruling on 1.11.2026. Since the decision of the Board is binding on the applicant, he has no other option but to accept the ruling of the Board. (ii) M/s Zinc Ltd., an Indian public sector company, wants to seek advance ruling from the Board for Advance Rulings (BAR) in respect of a matter relating to computation of its total income involving a question of law relating to such computation. However, the matter is already pending before the Income-tax Appellate Tribunal (ITAT) as on the date of application for advance ruling i.e., 02.02.2026. It cannot seek the BAR ruling till the matter is pending before the ITAT.
Suggested Answer and Working Notes:
(i) The statement is not correct. An applicant who is aggrieved by any ruling pronounced by the Board for Advance Rulings may appeal to the High Court against such ruling or order of the Board of Advance Rulings. He has to do so within sixty days from the date of the communication of that ruling, in the prescribed form and manner. Therefore, Mr. Jatin may appeal to the High Court against such order within sixty days from the date of the communication of that order. (ii) The statement is not correct. A resident falling within any class or category of persons as notified by the Central Government i.e., a public sector undertaking can seek advance ruling even if question raised is pending before the Appellate Tribunal.
Topics: Advance Rulings
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