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Section21
The Finance Act, 1986

Substitution of new section for section 80M

In force Act 23 of 1986 As on 18 Oct 2026

Act 23 of 1986 Ministry Finance

Section 21 of the Finance Act, 1986 deals with substitution of new section for section 80M. Substitution of new section for section 80M.

Substitution of new section for section 80M.

21. For section 80M of the Income-tax Act, the following section shall be substituted with effect from the 1st day of April, 1987, namely:—

"80M. Deduction in respect of certain inter-corporate dividends.—Where the gross total income of an assessee, being a domestic company, includes any income by way of dividends from a domestic company, there shall be allowed, in computing the total income of the assessee, a deduction from such income by way of dividends of an amount equal to sixty per cent. of such income.".

[Finance Act, 1986]

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Section 21, The Finance Act, 1986 (Act 23 of 1986).

Cross-references

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

This section refers to

  1. Income-tax Act s. 80M Deduction in respect of certain inter-corporate dividends

Questions about Section 21

What does Section 21 of the Finance Act deal with?

Section 21 of the Finance Act is headed "Substitution of new section for section 80M". Substitution of new section for section 80M.

How do I find court cases under Section 21 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 1986 21, section 21 Finance Act 1986, section 21 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 21 of the Finance Act, and has it changed?

Its own text turns on Income-tax Act 80M (Deduction in respect of certain inter-corporate dividends), so none of them can safely be read on its own.

When was the Finance Act enacted?

Finance Act was enacted in 1986 as Act 23 of 1986. 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.