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Section12
The Finance Act, 1980

Insertion of new sections 80AAand 80 AB

In force Act 44 of 1980 As on 18 Oct 2026

Act 44 of 1980 Ministry Finance Cited by 1 provision

Section 12 of the Finance Act, 1980 deals with insertion of new sections 80AAand 80 AB. Insertion of new sections 80AAand 80 AB 12.

Insertion of new sections 80AAand 80 AB

12. In the Income-tax Act,—

(a) after section 80A, the following section shall be inserted and shall be deemed to have "been inserted with effect from the 1st day of April, 1968, namely: —

Computation of deduction under section 80M

" 80AA. Where any deduction is required to be allowed -under section 80M in respect of any income by way of dividends from a domestic company which is included in the gross total income of the assessee, then, notwithstanding anything contained in that section, the deduction under that section shall be computed with reference to the income by way of such dividends as computed in accordance with the provisions of this Act (before making any deduction under this Chapter) and not with reference to the gross amount of such dividends.";

(b) after section 80AA as so inserted, the following section shall be inserted with effect from the 1st day of April, 1981, namely:-—

Deductions to be made with reference to the income included in the gross total income

'80AB. Where any deduction is required to be made or allowed under any section (except section 80M) included in this Chapter under the heading "C-Deductions in respect of certain incomes" in respect of any income of the nature specified in that section which is included in the gross total income of the assessee, then, notwithstanding anytiiing contained in that section, for the purpose of computing the deduction under that sec-tion, the amount of income of that nature as 'computed in accordance with the provisions of this Act (before making any deduction under this Chapter) shall alone be deemed to be the amount of income of that nature which is derived or received by the assessee and Viiieh is including his gross total income.'.

[Finance (No.

2) Act, 1980]

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Section 12, The Finance Act, 1980 (Act 44 of 1980).

Cross-references

Extracted from the operative text of the enactments themselves. Every destination below exists in our corpus.

Referred to by 1

  1. s. 53 Amendment of Act 38 of 1974

Questions about Section 12

What does Section 12 of the Finance Act deal with?

Section 12 of the Finance Act is headed "Insertion of new sections 80AAand 80 AB". Insertion of new sections 80AAand 80 AB 12.

How do I find court cases under Section 12 of the Finance Act?

In judgments and charge sheets this section is written several ways, and each form finds a different set of orders. These search the full text of every order eCourtsIndia holds, best matches first: Finance Act 1980 12, section 12 Finance Act 1980, section 12 of the Finance Act. Each opens the full list of orders on eCourtsIndia, where it can be narrowed by court, year and outcome.

What should I read with Section 12 of the Finance Act, and has it changed?

1 other provision in this corpus refers back to it.

When was the Finance Act enacted?

Finance Act was enacted in 1980 as Act 44 of 1980. India Code records no commencement date for it. It is in force as at the date shown on this page.

Other sections of this Act

Source and method. Compiled from the enactments of Parliament and of the State legislatures as published on India Code, and republished together with commentary and other original matter under section 52(1)(q)(ii) of the Copyright Act, 1957. Structured, cross-referenced and maintained by eCourtsIndia. Harvested from the Income Tax Department's own portal at incometaxindia.gov.in, which publishes the Finance Acts section by section. India Code carries none of them: its Central community holds the Acts that stand as general law, and a Finance Act is an amending and rate-fixing instrument. This page is not a substitute for legal advice.