1. As Life Insurance premium to effect or keep in force insurance on life of (a) self, spouse and any child in case of individual and (b) any member, in case of HUF. Insurance premium should not exceed 20% of the actual capital sum assured.

2. To effect or keep in force a deferred annuity contract on life of self, spouse and any child in case of individual. Such contract should not contain a provision for cash payment option in lieu of payment of annuity.

3. By way of deduction from salary payable by or on behalf of the Government to any individual for the purpose of securing to him a deferred annuity or making provision for his spouse or children. The sum so deducted does not exceed 1/5th of the salary.

4. As contribution (not being repayment of loan) by an individual to Statutory Provident Fund; i.e., any provident fund to which the Provident Funds Act, 1925, applies.

5. As contribution to Public Provident Fund scheme, 1968, in the name of self, spouse and any child in case of individual and any member in case of HUF.

6. As contribution by an employee to a recognised provident fund.

7. As contribution by an employee to an approved superannuation fund.

8. Any sum deposited in a 10 year or 15 year account under the Post Office Savings Bank (CTD) Rules, 1959, in the name of self and as a guardian of minor in case of individual and in the name of any member in case of HUF.

9. Subscription to the NSC (VIII issue).

10. As a contribution to Unit-linked Insurance Plan (ULIP) of UTI or LIC Mutual Fund (Dhanraksha plan) in the name of self, spouse and child in case of individual and any member in case of HUF.

11. To effect or to keep in force a contract for such annuity plan of the LIC (i.e., Jeevan Dhara, Jeevan Akshay and their upgradations) or any other insurer as referred to in by the Central Government.

12. As subscription to any units of any Mutual Fund referred u/s. 10(23D) (Equity Linked Saving Schemes).

13. As a contribution by an individual to any pension fund set up by any Mutual Fund referred u/s 10(23D).

14. As subscription to any such deposit scheme of National Housing Bank (NHB), or as a contribution to any such pension fund set up by NHB as notified by Central Government.

15. As subscription to notified deposit schemes of (a) Public sector company providing long-term finance for purchase/construction of residential houses in India or (b) Any authority constituted in India for the purposes of housing or planning, development or improvement of cities, towns and villages.

16. As tuition fees (excluding any payment towards any development fees or donation or payment of similar nature), to any university, college, school or other educational institution situated within India for the purpose of full-time education of any two children of individual.

17. Towards the cost of purchase or construction of a residential house property (including the repayment of loans taken from Government, bank, LIC, NHB, specified assessee’s employer etc., and also the stamp duty, registration fees and other expenses for transfer of such house property to the assessee). The income from such house property should be chargeable to tax under the head "Income from house property".

18. As subscription to equity shares or debentures forming part of any eligible issue of capital of public company or any public financial institution approved by Board.

19. As Term Deposit (Fixed Deposit) for 5 years or more with Scheduled Bank in accordance with a scheme framed and notified by the Central Government.

20. As subscription to any notified bonds of National Bank for Agriculture and Rural Development (NABARD).

21. In an account under the Senior Citizen Savings Schemes Rules, 2004.

1. No deduction shall be allowed to assessee in the previous year of happening of following events (referred henceforth as "such previous year") and the aggregate amount of deductions of income so allowed in respect of the previous years preceding such previous year shall be deemed to be the income of the assessee of such previous year and shall be liable to tax in the assessment year relevant to such previous year; i.e., If the assessee:—

1. The amount should be deposited or paid out of taxable income.

2. No deduction u/s. 80C is allowed on investment or expenditure on which deduction is claimed under this section.

3. Any amount withdrawn or pension received from the plan is taxable in the hands of the assessee or nominee in the year of receipt.

1. No deduction is allowed u/s. 80C in respect of contribution claimed as deduction under this section.

2. Any amount received from the scheme either on closure or on the event of opting out of the pension scheme, is taxable in the hands of the assessee or nominee in the year of such receipt.

3. Salary for the purpose of this section includes dearness allowance, if the terms of employment so provide, but excludes all other allowances/perquisites.

A) Aggregate of (a) Amount paid or deposited by the employee and (b) Amount paid or deposited by the Central Government. The total deduction shall be restricted to maximum 10% of salary.

1) Long term infrastructure bonds must be notified by the Central Government.

The maximum deduction limit is Rs. 20,000/-.

1. The amount should be paid by any mode other than cash out of taxable income.

A. For taxpayer his/her spouse and dependent children: 100% of premium paid subject to ceiling of (a) Rs. 20,000/- in the case of premium paid in respect of senior citizen (who has attained the age of 65 years or more) and (b) Rs. 15,000/- in other cases.

B. Additional deduction for parents of the taxpayer whether dependent or not 100% of premium paid subject to ceiling of (a) Rs. 20,000/- in the case of premium paid in respect of senior citizen (who has attained the age of 65 years or more) and (b) Rs. 15,000/- in other cases.

1. The concerned assessee must attach a copy of certificate in the prescribed Form and signed by prescribed medical authority along with return of income filed u/s 139. A fresh medical certificate may be required to be submitted after the expiry of stipulated period depending on the condition of disability as specified in such certificate.

2. Dependant means (a) in case of an individual, the spouse, children, parents, brothers and sisters of such individual and (b) in the case of a Hindu Undivided Family, any member of HUF; and who is dependant wholly or mainly on such individual or HUF for support and maintenance and who has not claimed deduction under section 80U for the assessment year relating to previous year.

3. "Disability" has the same meaning assigned to it in Section 2(i) of the Persons with Disabilities (Equal Opportunities, Protection of Rights and Full Participation) Act, 1995 [hereinafter referred to as PDEOPRFP Act] and includes "autism", "cerebral palsy" and "multiple disabilities" referred to in clauses (a), (c) and (h) of Sec. 2 of the National Trust for Welfare of Persons with Autism, Cerebral Palsy, Mental Retardation and Multiple Disabilities Act, 1999 [NTWPACMRMD Act].

4. "Person with Disability" means a person as referred to in Sec. 2(f) of the PDEOPRFP Act or Sec. 2(j) of NTWPACMRMD Act.

5. "Person with Severe Disability" means a person suffering from 80% or more of one or more disabilities prescribed u/s. 56(4) of PDEOPRFP Act or u/s. 2(o) of NTWPACMRMD Act.

6. If such dependant predeceases the individual or the member of HUF in whose name the subscription is made in the scheme, the amount shall be taxable in the hands of the concerned assessee in the year of receipt.

1. The concerned assessee must attach a copy of certificate in the prescribed Form No.10-I by a neurologist, an oncologist, a urologist, a haematologist, an immunologist or such other specialist working in Government Hospital along with return of income.

1. Amount should be paid out of income chargeable to tax.

2. All field of studies including vocational studies pursued after passing the Senior secondary examination or its equivalent from any school, board or university recognized by the central govt. or state govt. or local authority or by any other authority authorised by the central govt. or state govt. or local authority to do so.

3. Approved charitable institution means an institution established for charitable purposes and notified by the Central Government u/s. 10(23C) or referred in 80G(2)(a).

4. Financial institution means banking company or financial institution notified by Central Government.

1. Donation in kind is not eligible for deduction.

(a) 100% of donation if donation given to National Defence Fund set up by the Central Government; Prime Minister’s National Relief Fund; Prime Minister’s Armenia Earthquake Relief Fund; Africa (Public Contributions — India) Fund; National Foundation for Communal Harmony; An approved university/educational institution of National eminence; The Maharashtra Chief Minister’s Relief Fund during October 1, 1993 and October 6,1993; Chief Minister’s Earthquake Relief Fund, Maharashtra; Any fund set up by the State Government of Gujarat exclusively for providing relief to the victims of earthquake in Gujarat; any Zila Saksharta Samiti constituted in any district under the chairmanship of the Collector of that district; National Blood Transfusion Council or to any State Blood Transfusion Council; any fund set up by a State Government for the medical relief to the poor; the Army Central Welfare Fund or the Indian Naval Benevolent Fund or the Air Force Central Welfare Fund, Andhra Pradesh Chief Minister’s Cyclone Relief Fund, 1996; National Illness Assistance Fund; Chief Minister’s Relief Fund or Lieutenant Governor’s Relief Fund in respect of any State or Union Territory; National Sports Fund; National Cultural Fund; Fund for Technology Development and Application; National Trust for Welfare of Persons with Autism, Cerebral Palsy, Mental Retardation and Multiple Disabilities; Any trust, institution or fund to which Section 80G(5C) applies for providing relief to the victims of earthquake in Gujarat (contribution made during January 26, 2001 and September 30, 2001) or

(b) 50% of donation if donation given to Jawaharlal Nehru Memorial Fund; Prime Minister’s Drought Relief Fund; National Children’s Fund; Indira Gandhi Memorial Trust; Rajiv Gandhi Foundation.

With ceiling of 10% of adjusted Gross Total Income:— Where the aggregate of sums exceed 10% of adjusted gross total income, then such excess amount is ignored for computing such aggregate.

(a) 100% of qualifying amount, if donation given to Government or any approved local authority, institution or association to be utilised for the purpose of promoting family planning; Donation by a Company to the Indian Olympic Association or to any other notified association or institution established in India for the development of infrastructure for sports and games in India or the sponsorship of sports and games in India.

1. Such accommodation is occupied by him for his own residence.

2. The assessee should file a declaration in Form No. 10BA along with return of income.

1. Any sum paid to a scientific research association or to a university, college, or other institution to be used for scientific research [approved u/s. 35(1) (ii)];

2. Any sum paid to a university, college, or other institution to be used for research in social science or statistical research [approved u/s. 35(1)(iii)];

3. Any sum paid to an association or institution for any programme of rural development [approved u/s. 35CCA];

4. Any sum paid to an association or institution for training of persons for implementing rural development programmes [approved u/s. 35CCA];

5. Any sum paid to a public sector company or local authority or to an association or institution approved by National Committee for carrying out any eligible project or scheme [approved u/s. 35AC];

6. Any sum paid to a rural developemt fund set up and notified by Central Government for the purposes of Section 35CCA(1)(a);

1. No deduction is allowed if assessee has income chargeable under the head "Profits and gain of business and profession".

2. Any sum in respect of which deduction is allowed under this section will not qualify for deduction under any other provision of this Act for any assessment year.

1. The word "contribute" has the meaning assigned to it under Section 293A of the Companies Act, 1956.

2. "Political party" means a political party registered under Section 29A of the Representation of the People Act, 1951.

Assessee carrying any of the following eligible businesses through an industrial undertaking or enterprise except any person who executes a work contract (including the contract awarded by central or state government) w.e.f 1st day of April, 2000:—

(A) Provision of infrastructure facility;

(B) Telecommunication services;

(C) Industrial parks or special economic zone;

(D) Power generation, transmission and distribution,

1. The profits and gains of an eligible business shall be computed as if such eligible business were the only source of income of the assessee.

2. The accounts of the undertaking for the previous year relevant to the assessment year for which the deduction is claimed must be audited by a chartered accountant and Audit Report in Form No. 10CCB should be furnished along with the return of income.

3. No deduction shall be allowed under this section if the assessee fails to file the return of income for such assessment year on or before the due date specified u/s. 139(1) (w.e.f. A.Y.2006-07, section 80AC)

4. Where deduction of any amount of profits and gains of business is claimed and allowed under this section, then the deduction to the extent of such profit and gains shall not be allowed under any other provisions of this chapter and the deduction shall in no case exceed the profits and gains of such eligible business of undertaking or enterprise, as the case may be.

5. The benefit of Section 80-IA shall not be available to an amalgamated or demerged entity after April 1, 2007.

6. If any goods or services held for the purposes of the eligible business are transferred to any other business carried on by the assessee, or where any goods held for the purposes of any other business of the assessee are transferred to the eligible business, then in either case it should be ensured that the transaction occurs at the market value of such goods or services as on the date of transfer, otherwise Assessing Officer (AO) has the power to recompute the profits based on the market value of such goods or services.

1. The enterprise should be owned by a company registered in India or by a consortium of such companies or (w.e.f. Asst. year 2006-07, by an authority or a board or a corporation or any other body established or constituted under any Central or State Act).

2. The enterprise should have entered in to agreement with Central Government or a State Government or a local authority or any other statutory body for (a) developing, (b) operating and maintaining or (c) developing, operating and maintaining a new infrastructure facility.

3. "Infrastructure facility" means a road, toll road, bridge, rail system, highway project including housing or other activities being an integral part of the highway project, water supply project, water treatment system, irrigation project, sanitation and sewerage system or solid waste management system, port, airport, inland waterway or inland port.or navigational channel in the sea.

(a) 100% for any 10 consecutive assessment years out of 20 years (at the option of the assessee) [beginning from the year in which the enterprise develops and begins to operate any infrastructure facility], in case of project of a road, toll road, bridge, rail system, highway project including housing or other activities being an integral part of the highway project, water supply project, water treatment system, irrigation project, sanitation and sewerage system or solid waste management system and

The undertaking must comply with conditions laid out in Section 80-IA(3) namely;

(a) It should not be formed by splitting up, or re-construction, of a business already in existence (except for undertaking referred u/s. 33B);

1. The industrial park or special economic zone should be notified by the Central Government in accordance with the scheme framed and notified by it.

(a) The undertaking has developed or develops the special economic zone on or after 1st April, 1997, but on or before 31st March, 2006.

1. The undertaking for transmission or distribution of power by laying a network of new transmission lines shall be allowed deduction only in relation to the profits derived from laying of such network of new lines.

2. The undertaking [excluding State Electricity Board referred to in Sec. 2(7) of Electricity Act, 2003 w.e.f. A.Y. 2005-06] must comply with conditions laid out in Section 80-IA(3) namely;

(a) For generation and distribution of power, the Undertaking begins to generate power between 1st April, 1993 and 31st March, 2012.

(b) For transmission or distribution lines, the Undertaking starts transmission between 1st April, 1999 and 31st March, 2012.

1. Such Indian Company is formed before 30th November, 2005, with majority equity participation by public sector companies for the purposes of enforcing the security interest of the lenders to the company owning the power generating plant.

1. The terms "Developer" and "Special Economic Zone" shall have the same meanings respectively as assigned to them in clauses (g) and (za) of Section 2 of the Special Economic Zones Act, 2005.

2. The profits and gains of an eligible business shall be computed as if such eligible business were the only source of income of the assessee.

3. The accounts of the undertaking for the previous year relevant to the assessment year for which the deduction is claimed must be audited by a chartered accountant and Audit Report in Form No. 10CCB should be furnished along with the return of income.

4. No deduction shall be allowed under this section if the assessee fails to file the return of income for such assessment year on or before the due date specified u/s. 139(1) (w.e.f. A.Y. 2006-07 as per Section 80AC).

5. Where deduction of any amount of profits and gains of business is claimed and allowed under this section, then the deduction to the extent of such profit and gains shall not be allowed under any other provisions of this chapter and the deduction shall in no case exceed the profits and gains of such eligible business of undertaking or enterprise, as the case may be.

6. If any undertaking of an Indian company which is entitled to deduction under this section is transferred, before the expiry of the period specified in this section, to another Indian company, in a scheme of amalgamation or demerger, then no deduction shall be admissible under this section to the amalgamating or demerged company for the previous year in which the amalgamation takes place and the provisions of this section shall, as far as may be, apply to the amalgamated or resulting company as they would have applied to the amalgamating or demerged company if the amalgamation or demerger had not taken place.

7. If any goods or services held for the purposes of the eligible business are transferred to any other business carried on by the assessee, or where any goods held for the purposes of any other business of the assessee are transferred to the eligible business, then in either case it should be ensured that the transaction occurs at the market value of such goods or services as on the date of transfer, otherwise Assessing Officer (AO) has the power to recompute the profits based on the market value of such goods or services.

1. Industrial Undertaking located in notified backward district, state or region or other places or Small scale industrial undertaking, engaged in manufacturing/producing any articles/things or operating its cold storage plant;

2. Hotels;

3. Multiplex Theatres;

4. Convention Centres;

5. Scientific Research & Development;

6. Refining of Mineral Oil or Natural Gas;

7. Developing and Building Housing projects;

8. Operating cold Storage facility for agricultural produce;

9. Processing, preserving and packaging of fruits and vegetables or integrated business of handling, storage and transportation of food grains;

1. The profits and gains of an eligible business shall be computed as if such eligible business were the only source of income of the assessee.

2. The Undertaking should not be formed by splitting up, or re-construction, of a business already in existence (except for undertaking referred u/s. 33B).

3. The Undertaking should not be formed by the transfer to a new business, machinery or plant previously used for any purpose (exceptions provided in Explanations 1 & 2 below sub-clause (iii) to sub-section (2) of Section 80-IB).

4. The undertaking should not manufacture or produce any article or things specified in eleventh schedule.

5. The industrial undertaking should employ 10 or more workers in manufacturing process carried on with power and 20 or more workers in manufacturing process carried on without the aid of power.

6. The accounts of the undertaking for the previous year relevant to the assessment year for which the deduction is claimed must be audited by a chartered accountant and Audit Report in prescribed form (Form No. 10CCBA for multiplexes, 10CCBB for convention centres, 10CCBC for hospitals and 10CCB for others) should be furnished along with the return of income.

7. No deduction shall be allowed under this section if the assessee fails to file the return of income for such assessment year on or before the due date specifies u/s. 139(1) (w.e.f. A.Y. 2006-07 as per Section 80AC).

8. Where deduction of any amount of profits and gains of business is claimed and allowed under this section, then the deduction to the extent of such profit and gains shall not be allowed under any other provisions of this chapter and the deduction shall in no case exceed the profits and gains of such eligible business of undertaking.

9. If any undertaking of an Indian company which is entitled to deduction under this section is transferred, before the expiry of the period specified in this section, to another Indian company, in a scheme of amalgamation or demerger, then no deduction shall be admissible under this section to the amalgamating or demerged company for the previous year in which the amalgamation takes place and the provisions of this section shall, as far as may be, apply to the amalgamated or resulting company as they would have applied to the amalgamating or demerged company if the amalgamation or demerger had not taken place.

10. If any goods or services held for the purposes of the eligible business are transferred to any other business carried on by the assessee, or where any goods held for the purposes of any other business of the assessee are transferred to the eligible business, then in either case it should be ensured that the transaction occurs at the market value of such goods or services as on the date of transfer, otherwise Assessing Officer (AO) has the power to recompute the profits based on the market value of such goods or services.

1. Undertaking should be other than those mentioned above (i.e., A to E).

1. In addition to general conditions mentioned hereinbefore, the business of hotel should not be formed by transfer of a building previously used as a hotel.

2. The business of hotel is owned and carried on by a company registered in India with a paid-up capital of Rs. 5 lakhs or more.

1. In addition to general conditions mentioned hereinbefore, the business of hotel should not be formed by transfer of a building previously used as a hotel.

2. The business of hotel is owned and carried on by a company registered in India with a paid-up capital of Rs. 5 lakhs or more.

1. In addition to general conditions mentioned hereinbefore, the business of multiplex theatre should not be formed by transfer of a building previously used for any purpose.

2. Multiplex Theatre located at a place within the municipal jurisdiction of Kolkata, Chennai, Delhi or Mumbai is not covered by this section.

1. In addition to general conditions mentioned hereinbefore, the business of convention centre should not be formed by transfer of a building previously used for any purpose.

1. The company should have the main object of scientific and industrial research and development and company is an Indian company.

2. The company should be approved by prescribed authority at any time between 1st April, 2000 and 31st March, 2007.

6. Housing project should be on plot of land of a minimum area of 1 acre.

7. The relevant conditions mentioned from 2 to 6 above, shall not apply to a housing project carried out in accordance with a scheme framed by Central or State Government for reconstruction or redevelopment of existing buildings in areas declared as slum areas under any law for the time being in force and such scheme is notified by the Board in this behalf.

8. The residential unit has (a) a maximum built-up area of 1,000 sq. ft. in case of the cities of Delhi and Mumbai or within 25 kms from the municipal limits of these cities and (b) 1,500 sq. ft. for other places.

9. Built-up area of the shops and other commercial establishments included in a housing project does not exceed 5% of aggregate built-up area of the housing project or 2,000
sq. ft., whichever is less.

For projects which are approved after March 31, 2005 and pending completion as on 1st April, 2010 the limit of the built-up area of shops and other commercial establishments included in a housing project is 3% of aggregate built-up area of the housing project or 5,000 sq. ft., whichever is higher.

10. "Built-up area" means the inner measurements of the residential unit at the floor level, including the projections and balconies, as increased by the thickness of the walls but does not include the common areas shared with other residential units.

11. Not more than one residential unit in the hosing project is allotted to any person not being an individual. (Inserted w.e.f. 1st day of April, 2010)

12. In case where a residential unit in the housing project is allotted to a person being an individual, no other residential unit in such housing project is allotted to any of the following persons, namely:—

"Cold chain facility" means a chain of facilities for storage or transportation of agricultural produce under scientifically controlled conditions including refrigeration and other facilities necessary for the preservation of such produce.

Between 1st April, 1999 and 31st March, 2004.

100% for first 5 A.Ys. and 25% (30% for company) for next 5 A.Ys. (7 A.Ys. for Co-operative society) beginning ith the assessment year relevant to the previous year in which the undertaking begins to operate the cold chain facility.

On or after 1st April, 2001.

100% for first 5 A.Ys and 25% (30% for company) for next 5 A.Ys. beginning with the assessment year relevant to the previous year in which the undertaking begins such business.

1. The hospital should be constructed on or after 1st October, 2004, but before 1st April, 2008.

2. The hospital has at least 100 beds for patients.

3. The construction is in accordance with the regulations of the local authority.

4. The hospital shall be deemed to have been constructed on the date on which completion certificate is issued by the local authority.

100% for first 5 A.Ys beginning with the initial A.Y. relevant to the previous year in which such undertaking begins to provide medical services.

4. The hospital shall be deemed to have been constructed on the date on which completion certificate is issued by the local authority.

Profits and gains derived by certain undertakings or enterprises in certain special category States.

1. The undertaking or enterprise should not be formed by splitting up, or re-construction, of a business already in existence (except for undertaking referred u/s. 33B).

2. The undertaking or enterprise should not be formed by the transfer to a new business, machinery or plant previously used for any purpose (exceptions provided in Explanations 1 & 2 to sub-section (3) of Section 80-IA shall apply).

3. The profits and gains of an eligible business shall be computed as if such eligible business were the only source of income of the assessee.

4. The undertaking should not manufacture or produce article or things specified in eleventh schedule.

5. The accounts of the undertaking for the previous year relevant to the assessment year for which the deduction is claimed must be audited by a chartered accountant and Audit Report in Form No. 10CCB should be furnished along with the return of income.

6. No deduction shall be allowed under this section if the assessee fails to file the return of income for such assessment year on or before the due date specifieed u/s. 139(1) (w.e.f. AY 2006-07 as per Section 80AC).

7. Where deduction of any amount of profits and gains of business is claimed and allowed under this section, then the deduction to the extent of such profit and gains shall not be allowed under any other provisions of this chapter and the deduction shall in no case exceed the profits and gains of such eligible business of undertaking or enterprise, as the case may be.

8. If any undertaking of an Indian company which is entitled to deduction under this section is transferred, before the expiry of the period specified in this section, to another Indian company, in a scheme of amalgamation or demerger, then no deduction shall be admissible under this section to the amalgamating or demerged company for the previous year in which the amalgamation takes place and the provisions of this section shall, as far as may be, apply to the amalgamated or resulting company as they would have applied to the amalgamating or demerged company if the amalgamation or demerger had not taken place.

9. If any goods or services held for the purposes of the eligible business are transferred to any other business carried on by the assessee, or where any goods held for the purposes of any other business of the assessee are transferred to the eligible business, then in either case it should be ensured that the transaction occurs at the market value of such goods or services as on the date of transfer, otherwise Assessing Officer (AO) has the power to recompute the profits based on the market value of such goods or services.

10. If it appears to the AO, that business between the assessee (engaged in eligible business) and any other person is so arranged that the business transacted between them produces to the assessee more than ordinary profits, then the AO shall take the amount of profit as may be reasonably deemed to have been derived therefrom.

11. No deduction shall be allowed under any other section contained in Chapter VIA or in Section 10A or 10B in relation to the profits and gains of the undertaking or enterprise.

12. No deduction shall be allowed to any undertaking or enterprise under this section, where the total period of deduction inclusive of the period of deduction under this section, or under 2nd proviso to Section 80-IB(4) or u/s. 10C as the case may be, exceeds 10 assessment years.

13. "Substantial expansion" means increase in the investment in the plant and machinery by at least 50% of the book value of plant and machinery (before taking depreciation in any year), as on first day of the previous year in which substantial expansion is undertaken.

A. Any undertaking or enterprise which has begun or begins to manufacture or produce or which manufactures or produces any article or thing, other than specified in Thirteenth Schedule and undertakes substantial expansion in any Export Processing Zone or Integrated Infrastructure Development Centre or Industrial Growth Centre or Industrial Estate or Industrial Park or Software Technology Park or Industrial area or Theme Park, as notified by the Board in accordance with the scheme framed and notified by the Central Government in this regard in the State of Sikkim or Himachal Pradesh or Uttaranchal or North-Eastern States.

B. Any undertaking or enterprise which has begun or begins to manufacture or produce or which manufactures or produces any article or thing, specified in Fourteenth Schedule or commences any operation specified in that schedule and undertakes substantial expansion in the State of Sikkim or Himachal Pradesh or Uttaranchal or North-Eastern States.

For State of Sikkim between 23rd December, 2002 and 31st March, 2007.

For States of Himachal Pradesh and Uttaranchal between 7th January, 2003 and 31st March, 2012.

For North-Eastern States between 24th December,1997 and 31st March, 2007.

For States of Sikkim and North Eastern States — 100% for first 10 A.Ys. beginning with the assessment year relevant to the previous year in which the undertaking or enterprise begins to manufacture or produce articles or things or commences operation or completes substantial expansion.

For States of Himachal Pradesh and Uttaranchal — 100% for first 5 A.Ys. and 25% (30% for company) for next 5 A.Ys. beginning with the assessment year relevant to the previous year in which the undertaking or enterprise begins to manufacture or produce articles or things or commences operation or completes substantial expansion.

Type of undertaking and period of commencement

(i) Hotel of two-star, three-star or four-star category as classified by Central Government located in the specified area during the period beginning on the April 1, 2007 and ending on the July 31, 2010

(ii) Business of building, owning and operating a convention centre, located in the specified area during the period beginning on the April 1, 2007 and ending on the July 31, 2010.

(iii) Hotels, located in the specified area having a world Heritage Site, during the period beginning on the April 1, 2008 and ending on the March 31, 2013.

Profits and gains derived from the aforesaid undertaking.

(A) The aforesaid business is not formed by the splitting up, or the reconstruction, of a business already in existence. However, if a new industrial undertaking is set up in an old building, deduction shall be admissible as this section provides for new undertaking and does not provide for old building.

(B) The aforesaid business is not formed by the transfer to a new business of machinery or plant previously used for any purpose except two:—

(C) Audit report in form No. 10CCBA should be submitted along with the return of income.

(D) Return of Income is submitted on or before the due date of submission of return of income given under section 139(1).

100% of the profits and gains derived from the business is deductible for five consecutive assessment years beginning from the initial assessment year.

Assessee begins manufacture or production of goods or undertakes substantial expansion or carries on eligible business during April 1, 2007 and March 31, 2017 in any North-Eastern States.

Profits and gains derived by an Undertaking or Enterprise.

A) The aforesaid business is not formed by the splitting up, or the reconstruction, of a business already in existence. However, if a new industrial undertaking is set up in an old building, deduction shall be admissible as this section provides for new undertaking and does not provide for old building.

B) The aforesaid business is not formed by the transfer to a new business of machinery or plant previously used for any purpose except two:—

— such machinery or plant was not, at any time prior to the date installation by the assessee, used in India.

C) Audit report 10CCB should be submitted along with the return of Income.

D) Return of Income is submitted on or before the due date of submission of return of income given under section 139(1).

If deduction is claimed and allowed under the aforesaid provisions, the tax payer will not be able to avail any deduction under sections 10A, 10AA, 10B, 10BA, 80C to 80U. Moreover, no deduction shall be allowed to an undertaking under section 80-IE where the total period of deduction under section 10C, second proviso to sections 80-IB (4), 80-IC and 80-IE exceeds 10 assessment years.

100% of profit derived from the business/services shall be deductible for 10 years beginning with assessment year relevant to the previous year.

100% of the profit and gains from such business for a period of five consecutive assessment years beginning with the assessment year relevant to previous year in which such business commences.

Additional wages paid to the new regular workmen employed.

1. Profits and gains should be derived from any industrial undertaking, engaged in the manufacture or production of article or thing.

2. The industrial undertaking should not be formed by splitting up or reconstruction of an existing undertaking or amalgamation with another industrial undertaking.

3. Audit report in Form 10DA certifying that the deduction has been correctly claimed is required to be filed along with return of income.

4. Additional wages means the wages paid to the new regular workman in excess of 100 workmen employed during the previous year provided that in case of an existing undertaking, the additional wages shall be nil if the increase in the number of regular workmen employed during the year is less than 10% of existing number of workmen employed in such undertaking as on the last day of the preceding year.

5. Regular workman does not include a casual workman or a workman employed through contract labour or any other workman employed for a period of less than 300 days during the previous year.

6. Workman shall have the meaning assigned to it u/s. 2(s) of the Industrial Disputes Act, 1947.

30% of the additional wages paid to the new regular workmen for first 3 assessment years including the assessment year relevant to the previous year in which such employment is provided.

1. Scheduled Bank, or, any bank incorporated by or under the laws of a country outside India; and having an Offshore Banking Unit in a Special Economic Zone.

2. A Unit of an International Financial Services Centre.

(a) The income from an Offshore Banking Unit in a Special Economic Zone.

(b) The income from the business, referred to in Section 6(1) of Banking Regulation Act, 1949, with an Undertaking located in a Special Economic Zone or any Other Undertaking which develops, develops and operates or operates and maintains a Special Economic Zone.

(c) The income from any Unit of the International Financial Services Centre from its business for which it has been approved for setting up in such a centre in a Special Economic Zone.

1. The terms "International Financial Services Centre", "Special Economic Zone" and "Unit" shall have the same meanings respectively as assigned to them in clauses (q), (za) and (zc) of Section 2 of the Special Economic Zones Act, 2005.

2. The term "Scheduled Bank" shall have the same meaning as assigned to it in clause (e) of Section 2 of the Reserve Bank of India Act, 1934.

3. Audit report in Form 10CCF certifying that the deduction has been correctly claimed is required to be filed along with return of income.

4. A copy of the permission obtained under Section 23(1)(a) of the Banking Regulation Act, 1949, is required to be filed along with return of income.

100% of such income for first 5 consecutive assessment years beginning with the assessment year relevant to the previous year in which permission u/s 23(1)(a) of Banking Regulation Act, 1949, or permission or registration under the Securities and Exchange Board of India Act, 1992, or any other relevant law was obtained and 50% of such income for next 5 consecutive assessment years.

 A. Co-operative Society engaged in —

B. Co-operative society, being a primary society engaged in supplying milk, oilseeds, fruits or vegetables raised or grown by its member to (a) a federal co-operative society being a society engaged in the business of supplying milk, oilseeds, fruits or vegetables, as the case may be, or (b) the Government or a local authority, or (c) a Government company or a corporation established by or under a Central, State or Provincial Act being a company or corporation engaged in the business of supplying milk, oilseeds, fruits or vegetables, as the case may be to the public.

1. Profits and gains of business attributable to any one or more such activities in case of societies covered in A, B & C.

2. Relevant income out of the gross total incomes of societies covered in D, E & F.

1. In case of societies of type referred in A(6) & A(7) above, the rules and bye-laws of the society should restrict the voting rights to following classes of its members — (a) the individuals who contribute their labour or, as the case may be, carry on the fishing or allied activities, (b) the co-operative credit societies which provide financial assistance to the society (c) the State Government.

2. With effect from A.Y. 2007-08, the provisions of this section shall not apply in relation to any co-operative bank other than a primary agricultural credit society or a primary co-operative agricultural and rural development bank. The terms "co-operative bank" and "primary agricultural credit society" shall have the same meanings respectively as assigned to them in Part V of the Banking Regulation Act, 1949. The term "Primary co-operative agricultural and rural development bank" means a society having its area of operation confined to a taluka and the principal object of which is to provide for long-term credit for agricultural and rural development activities.

1. In case of societies referred in A & B above — 100% of the profits and gains of business (without any limit).

2. In case of societies referred in C above — 100% of the profits and gains of business subject to a maximum of Rs. 1,00,000/- in case of Consumers’ Co-operative Society or
Rs. 50,000/- in other cases.

3. In case of societies referred in D & E above — 100% of the relevant income (without any limit).

4. In case of societies referred in F above — 100% of the relevant income provided the gross total income of such society does not exceed Rs. 20,000/-.

Individual resident in India.

Income derived by author (or a joint author) from his profession, on account of (a) any lump sum consideration for the assignment or grant of any of his interests in the copyright of any book being a work of literary, artistic or scientific nature, or (b) royalty or copyright fees in respect of such book (whether receivable in lump sum or otherwise).

1. In respect of income earned from any source outside India, only so much of the income as is brought into India in convertible foreign exchange within 6 months from the end of previous year or within such further period as competent authority may allow shall be taken into consideration.

2. If the income earned is from any source outside India, a certificate in prescribed Form No. 10H from prescribed authority [RBI or authorised authority as specified in Rule 29A(2)], should be filed along with return of income.

3. A certificate in prescribed Form No. 10CCD and duly verified by any person responsible for making such payment to the assessee, should be filed along with return of income.

4. Where a deduction under this section for any previous year has been claimed and allowed, no deduction in respect of such income shall be allowed under any other provision of the Act in any assessment year.

1. In case of lump sum consideration for (a) Assignment or grant of any interest in the copyright of any book or (b) Amount of Royalty or Copyright fees (being a lump sum consideration in lieu of all rights in the book) — Lower of 100% of such consideration or
Rs. 3 lakhs.

2. In case of amount of Royalty or Copyright fees not being a lump sum consideration in lieu of all rights in the book — Lower of (a) Royalty or Copyright Fees (before allowing expenses attributable to such income) not exceeding 15% of gross value of books sold during the previous year or (b) Rs. 3 lakhs.

1. Assessee should be patentee (he may be a co-owner of patent); i.e., the person or persons, being the true and first inventor of the invention, whose name is entered on the Patents Register as the patentee as per the Patents Act, 1970.

2. In respect of income earned from any sources outside India, only so much of the income as is brought into India in convertible foreign exchange within 6 months from the end of previous year or within such further period as competent authority may allow shall be taken into consideration.

3. If the income earned is from any source outside India, a certificate in prescribed Form No. 10H from prescribed authority [RBI or authorised authority as specified in Rule 29A(2)], should be filed along with return of income.

4. A certificate in prescribed Form No. 10CCE verified by any person resposible for making such payment to the assessee is required to be filed with Return of income.

5. Where a compulsory licence is granted in respect of any patent under the Patents Act, 1970, the income eligible for the purposes of this section shall not exceed the amount of royalty under the terms and conditions of a licence settled by the Controller under that Act.

6. Where a deduction under this section for any previous year has been claimed and allowed, no deduction in respect of such income shall be allowed under any other provision of the Act in any assessment year.

100% of royalty or Rs. 3 lakhs, whichever is lower.

1. The concerned assessee must attach a copy of certificate in the prescribed form and signed by prescribed medical authority along with return of income filed u/s. 139. A fresh medical certificate may be required to be submitted after the expiry of stipulated period depending on the condition of disability as specified in such certificate.

2. Medical authority means the medical authority referred u/s. 2(p) of Persons with Disabilities (Equal Opportunities, Protection of Rights and Full Participation) Act, 1995 [PDEOPRFP Act] or u/ss. 2(a), (c), (h), (j) and (o) of the National Trust for Welfare of Persons with Autism, Cerebral Palsy, Mental Retardation and Multiple Disabilities Act, 1999 [NTWPACMRMD Act].

3. "Disability" has the same meaning assigned to it in Section 2(i) of PDEOPRFP Act and includes "autism", "cerebral palsy" and "multiple disabilities" referred to in clauses (a), (c) and (h) of Sec. 2 of the NTWPACMRMD Act.

4. "Person with Disability" means a person as referred to in Sec. 2(f) of the PDEOPRFP Act or Sec. 2(j) of NTWPACMRMD Act.

5. "Person with Severe Disability" means a person suffering from 80% or more of one or more disabilities prescribed u/s. 56(4) of PDEOPRFP Act or u/s. 2(o) of NTWPACMRMD Act.

(a) Rs. 50,000/- in case of normal disability or

(b) Rs. 1,00,000/- in case of severe disability.