Section 245N - Definitions - Income-tax Act, 1961

1 [ CHAPTER XIX-B ADVANCE RULINGS Definitions. 245N. In this Chapter, unless the context otherwise requires,- 2 [( a ) advance ruling means- ( i ) a determination by the Authority in relation to a transaction which has been undertaken or is proposed to be undertaken by a non-resident applicant; or ( ii ) a determination by the Authority in relation to 3 [the tax liability of a non-resident arising out of] a transaction which has been undertaken or is proposed to be undertaken by a resident applicant with 4 [such] non-resident 13 [or], 14 [(iia) a determination by the Authority in relation to the tax liability of a resident applicant, arising out of a transaction which has been undertaken or is proposed to be undertaken by such applicant,] and such determination shall include the determination of any question of law or of fact specified in the application; ( iii ) a determination or decision by the Authority in respect of an issue relating to computation of total income which is pending before any income-tax authority or the Appellate Tribunal and such determination or decision shall include the determination or decision of any question of law or of fact relating to such computation of total income specified in the application : 8 [ (iv) ***] 9 [(iv) a determination or decision by the Authority whether an arrangement, which is proposed to be undertaken by any person being a resident or a non-resident, is an impermissible avoidance arrangement as referred to in Chapter X-A or not:] 5 [ Provided that where an advance ruling has been pronounced, before the date on which the Finance Act, 2003 receives the assent of the President, by the Authority in respect of an application by a resident applicant referred to in sub-clause ( ii ) of this clause as it stood immediately before such date, such ruling shall be binding on the persons specified in section 245S;] 17 [(b) applicant means- (A) any person who- (I) is a non-resident referred to in sub-clause (i) of clause (a); or (II) is a resident referred to in sub-clause (ii) of clause (a); or (III) is a resident referred to in sub-clause (iia) of clause (a) falling within any such class or category of persons as the Central Government may, by notification in the Official Gazette, specify; or (IV) is a resident falling within any such class or category of persons as the Central Government may, by notification in the Official Gazette, specify in this behalf; or (V) is referred to in sub-clause (iv) of clause (a), and makes an application under sub-section (1) of section 245Q; 18 [ **** ] ] (c) application means an application made to the Authority 19 [ or the Board for Advance Rulings ] under sub-section (1) of section 245Q; 20 [ (ca) Board for Advance Rulings means the Board for Advance Rulings constituted by the Central Government under section 245-OB; ] (d) Authority means the Authority for Advance Rulings constituted under section 245-O; (e) Chairman means the Chairman of the Authority; 16 [(f) Member means a Member of the Authority and includes the Chairman and Vice-chairman 21 [ or a Member of the Board for Advance Rulings ] ; (g) Vice-chairman means the Vice-chairman of the Authority. ] ---------------------- Notes :- 1. Chapter XIX-B, consisting of sections 245N to 245V, inserted by the Finance Act, 1993, w.e.f. 1-6-1993. 2. Clauses (a) and (b) substituted by the Finance Act, 2000, w.e.f. 1-6-2000. Prior to their substitution, clauses (a) and (b), as inserted by the Finance Act, 1993, w.e.f. 1-6-1993 and later on substituted by the Finance (No. 2) Act, 1998, w.e.f. 1-10-1998, read as under : '(a) advance ruling means- (i) a determination by the Authority in relation to a transaction which has been undertaken or is proposed to be undertaken by a non-resident applicant and such determination shall include the determination of any question of law or of fact specified in the application; (ii) a decision by the Authority in relation to an assessment which is pending before any of the Income-tax Authority or the Tribunal in case of an applicant who is a resident in India and such decision shall include the decision on question of law or fact arising out of the orders of assessment in respect of which an application has been made by a resident applicant; (b) applicant means any person who- (i) is a non-resident; or (ii) is a resident falling within any such class or category of persons as the Central Government may, by notification in the Official Gazette, specify in this behalf; (iii) makes an application under sub-section (1) of section 245Q;' 3. Inserted by the Finance Act, 2003, w.r.e.f. 1-6-2000. 4. Substituted for a by the Finance Act, 2003, w.r.e.f. 1-6-2000. 5. Inserted, by the Finance Act, 2003, w.e.f. 14-5-2003. 6. Inserted vide Finance Act, 2012, w.e.f. 01-04-2013. 7. Substituted vide Finance Act, 2012, w.e.f. 01-04-2013., before it was read as:- and 8. Omitted vide Finance Act, 2013, w.e.f. April 1, 2013, before it was read as 6 [ ( iv ) a determination or decision by the Authority whether an arrangement, which is proposed to be undertaken by any person being a resident or a non-resident, is an impermissible avoidance arrangement as referred to in Chapter X-A or not. ] . 9. Inserted vide Finance Act, 2013, w.e.f. 1st day of April, 2015 . 10. Omitted vide Finance Act, 2013, w.e.f. April 1, 2013 , before it was read as 6 [ ( iiia ) is referred to in sub-clause ( iv ) of clause ( a ); and ] 11. Substituted vide Finance Act, 2013, w.e.f. 01-04-2013 , before it was read as 7 [ or] . Further, For the word and , the word or shall be substituted with effect from the 1st day of April, 2015; 12. Inserted vide Finance Act, 2013, w.e.f. 1st day of April, 2015. 13. Inserted vide THE FINANCE (No. 2) ACT, 2014 w.e.f. 1st day of October, 2014. 14. Inserted vide THE FINANCE (No. 2) ACT, 2014 w.e.f. 1st day of October, 2014. 15. Inserted vide THE FINANCE (No. 2) ACT, 2014 w.e.f. 1st day of October, 2014. 16. Substituted vide THE FINANCE (No. 2) ACT, 2014 w.e.f. 1st day of October, 2014. , before it was read as, ( f ) Member means a Member of the Authority and includes the Chairman. 17. Substituted vide THE FINANCE ACT, 2017 w.e.f. 1st day of April, 2017, before it was read as, ( b ) applicant means any person who- ( i ) is a non-resident referred to in sub-clause ( i ) of clause ( a ); or ( ii ) is a resident referred to in sub-clause ( ii ) of clause ( a ); or 15 [(iia) is a resident referred to in sub-clause (iia) of clause (a) falling within any such class or category of persons as the Central Government may, by notification in the Official Gazette, specify; or] ( iii ) is a resident falling within any such class or category of persons as the Central Government may, by notification in the Official Gazette, specify in this behalf; 11 [and] 10 [( iiia ) *** ] 12 [(iiia) is referred to in sub-clause (iv) of clause (a); and] ( iv ) makes an application under sub-section (1) of section 245Q;] 18. Omitted vide THE FINANCE ACT, 2021 dated 28-03-2021 w.e.f. 01-04-2021 before it was read as (B) an applicant as defined in clause (c) of section 28E of the Customs Act, 1962; (52 of 1962.) (C) an applicant as defined in clause (c) of section 23A of the Central Excise Act, 1944; (1 of 1944.) (D) an applicant as defined in clause (b) of section 96A of the Finance Act, 1994; . (32 of 1994.) 19. Inserted vide THE FINANCE ACT, 2021 dated 28-03-2021 w.e.f. 01-04-2021 20. Inserted vide THE FINANCE ACT, 2021 dated 28-03-2021 w.e.f. 01-04-2021 21. Inserted vide THE FINANCE ACT, 2021 dated 28-03-2021 w.e.f. 01-04-2021