No deduction denial for mere non approval from Prescribed Authority: HC

Under Rule 18 BBC of Income Tax Rules, 1962 (hereinafter referred to as the “Rules, 1962”), Prescribed Authority is identified as Director General, Income Tax (Exemptions) and he has to grant approval on concurrence of Director General in the Directorate General of Tourism, Government of India in respect of hotels which qualified for 50% deduction under Section 80IB(7)(a); and, hotels covered by Clause (b) on Section 80 IB(7), there, prescribed authority competent for granting approval is Director General in the Directorate General of Tourism, Government of India. HC held that wher...