Amendment of section 35

Section 7 of the Finance Act, 2008 deals with amendment of section 35. Amendment of section 35. 7. In section 35 of the Income-tax Act, with effect from the 1st day of April, 2009,— (a ) in sub-section (1), after clause (ii), the following clause shall be inserted, namely:— "(iia) an amount equal to one and one-fourth times of any sum paid to a company to be used by it

Amendment of section 35.

7. In section 35 of the Income-tax Act, with effect from the 1st day of April, 2009,—

(a ) in sub-section (1), after clause (ii), the following clause shall be inserted, namely:—

"(iia) an amount equal to one and one-fourth times of any sum paid to a company to be used by it for scientific research:

Provided that such company—

(A ) is registered in India,

(B ) has as its main object the scientific research and development,

(C ) is, for the purposes of this clause, for the time being approved by the prescribed authority in the prescribed manner, and

(D ) fulfils such other conditions as may be prescribed;";

(b ) in sub-section (2AB), after clause (5), the following clause shall be inserted, namely:—

"( 6) No deduction shall be allowed to a company approved under sub-clause (C) of clause (iia ) of sub-section (1) in respect of the expenditure referred to in clause (1) which is incurred after the 31st day of March, 2008.".

© Copyright. Taxmann Publications Pvt. Ltd.

Section 7, The Finance Act, 2008.