"What is the output of INT at Pin 7 incase the alarm bit is enabled ,because if it toggles the o/p then the interrupt will be generated continously."

Yes, it will toggle when alarm is disabled. So simply disable that Interrupt of the MCU in your code, just before you disable the Alarm in the RTC.

For the year you can just have 4 values : 00,01,10,11. And knowing that this roll over happens once a year, you need to compute the actual year in software.

Raghu