India - Income Tax Act 2010 - Saarc

S. 35DDA I.T. ACT, 1961 1.23279[(5A) Where the undertaking of an Indian company which is entitled to thededuction under sub-section (1) is transferred, before the expiry of the periodspecified in sub-section (1), to another company in a scheme of demerger,—(i) no deduction shall be admissible under sub-section (1) in the case ofthe demerged company for the previous year in which the demergertakes place; and(ii) the provisions of this section shall, as far as may be, apply to theresulting company, as they would have applied to the demergedcompany, if the demerger had not taken place.](6) Where a deduction under this section is claimed and allowed for anyassessment year in respect of any expenditure specified in sub-section (2), theexpenditure in respect of which deduction is so allowed shall not qualify fordeduction under any other provision of this Act for the same or any otherassessment year.]79[Amortisation of expenditure in case of amalgamation or demerger.35DD. (1) Where an assessee, being an Indian company, incurs any expenditure,on or after the 1st day of April, 1999, wholly and exclusively for thepurposes of amalgamation or demerger of an undertaking, the assessee shall beallowed a deduction of an amount equal to one-fifth of such expenditure for eachof the five successive previous years beginning with the previous year in whichthe amalgamation or demerger takes place.(2) No deduction shall be allowed in respect of the expenditure mentioned in subsection(1) under any other provision of this Act.]80[Amortisation of expenditure incurred under voluntary retirement scheme.35DDA. (1) Where an assessee incurs any expenditure in any previous yearby way of payment of any sum to an employee 81 [in connection with]his voluntary retirement, in accordance with any scheme or schemes of voluntaryretirement, one-fifth of the amount so paid shall be deducted in computing theprofits and gains of the business for that previous year, and the balance shall bededucted in equal instalments for each of the four immediately succeedingprevious years.82[(2) Where the assessee, being an Indian company, is entitled to the deductionunder sub-section (1) and the undertaking of such Indian company entitled to thededuction under sub-section (1) is transferred, before the expiry of the periodspecified in that sub-section, to another Indian company in a scheme ofamalgamation, the provisions of this section shall, as far as may be, apply to theamalgamated company as they would have applied to the amalgamating companyif the amalgamation had not taken place.(3) Where the undertaking of an Indian company entitled to the deduction undersub-section (1) is transferred, before the expiry of the period specified in that subsection,to another company in a scheme of demerger, the provisions of this79. Inserted by the Finance Act, 1999, w.e.f. 1-4-2000.80. Inserted by the Finance Act, 2001, w.e.f. 1-4-2001.81. Substituted for “at the time of” by the Finance Act, 2005, w.r.e.f. 1-4-2004.82. Sub-sections (2) to (6) substituted for sub-section (2) by the Finance Act, 2002, w.r.e.f.1-4-2001. Prior to its substitution, sub-section (2) read as under :“(2) No deduction shall be allowed in respect of the expenditure mentioned in sub-section(1) under any other provision of this Act.”