A.K. Sikri, J.

1. This appeal was admitted on the following substantial questions of law:

(i) Whether the Income Tax Appellate Tribunal was justified in law in upholding the order of Commissioner of Income Tax (Appeals) rejecting the claim of deduction of 7,49,065/- under Section 80IB of the Income Tax Act, 1961?

(ii) Whether on true and correct interpretation of the provisions of Section 80IB of the Income Tax Act, 1961 the Income Tax Appellate Tribunal was justified in law in holding that Assessee since had not claimed deduction under Section 80IB of the Income Tax Act, 1961, in the initial assessment year, i.e., 1998-99, became disentitled to claim such a deduction in the instant assessment year 2004-05, despite the fact the Assessee's undertaking fulfils the stipulated conditions for claiming deduction under Section 80IB of the Income Tax Act, 1961?

2. These questions have arisen in the following factual backdrop. The Appellant (hereinafter referred to as "the Assessee?) herein is an individual who is running his proprietorship concern under the name and style of M/s Ragnik Exports. This concern is engaged in business of manufacturing and exports of readymade garments. To m