ITAT rules on taxpayer’s option to choose initial year for claiming tax holiday for telecommunication services

In a recent ruling in the case of Vodafone Essar Gujarat Ltd. (Taxpayer) (ITAT) [38 SOT 51], on the issue of eligibility of the Taxpayer, engaged in the business of providing telecommunication services prior to tax year 1999­-00, to choose the initial year of claiming tax holiday under section 801A (Section) of the Income tax Act, 1961 (ITA) the Ahmadabad Income Tax Appellate Tribunal held that, in view of the amended provisions from tax year 1999-00, the Taxpayer had an option to choose its initial year of claiming tax holiday and was justified in exercising its option to avail tax holiday f...