Amendment of section 80MM

Section 19 of the Finance Act, 1971 deals with amendment of section 80MM. Amendment of section 80MM. 19. In section 80MM of the Income-tax. The Act was enacted on 10 Aug 1971.

Amendment of section 80MM.

19. In section 80MM of the Income-tax. Act, with effect from the 1st day of April, 1972,—

(a) in sub-section (1),—

(i) for the words "assessee being an Indian company", the words and brackets "assessee, being an Indian company or a per son (other than a company) who is resident in India," shall be substituted;

(ii) for the words "received by it", the words "received by the assessee" shall be substituted;

(iii) for the words "Central Government", in both the places where they ocour, the word "Board" shall be substituted;

(iv) for the words "there shall be allowed a deduction", the words "there shall, in accordance with and subject to the provisions of this section, be allowed a deduction" shall be substituted;

(v) after the proviso, the following proviso shall be inserted, namely: —

"Provided further that approval of the Board shall not be necessary in the case of any such agreement which has been approved for the purposes of the deduction under this sub-section by the Central Government before the 1st day of April, 1972, and every application for such approval of any such agreement pending with the Central Government immediately before that day shall stand transferred to the Board for disposal.";

(b) after sub-section (2), the following sub-section shall be inserted, namely:—

"(2A) Where the assessee is a person other than a company or a co-operative society, the deduction under sub-section (1) shall not be admissible unless the accounts of the assessee for the previous year have been audited by an accountant as denned in the Explanation below sub-section (2) of section 288, and the assessee furnishes, along with his return of income, the report of such audit in the prescribed form duly signed and verified by such accountant and setting forth such particulars as may be prescribed.".

[Finance (No.

2) Act, 1971]

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Section 19, The Finance Act, 1971 (Act 32 of 1971).