Kwatra, a non-resident, made an application to the Authority for Advance Rulings (AAR) on 2nd July, 2018 in relation to a transaction proposed to be undertaken by him. He decided on 31st August, 2018 to withdraw the said

Withdrawal of Application filed before AAR: Section 245Q(3) of the Income-tax Act, 1961 provides that an applicant, who has sought for a advance ruling, may withdraw the application within 30 days from the date of the application. Since more than 30 days have elapsed from the date of application filed by Kwatra to the authority for advance rulings, he cannot withdraw the application on 31st August, 2018. However, the authority for advance rulings (AAR) in M K Jain AAR No. 644 of 2004, has observed that though section 245Q(3) provides that an application may be withdrawn by the applicant within 30 days from the date of the application, the AAR is not precluded from being permitted to withdraw the application after the period of 30 days only where the circumstances so justify.