India - Income Tax Act 2010 - Saarc

1.449 CH. VIA - DEDUCTIONS IN RESPECT OF CERTAIN INCOMES S. 80-IAany other person, or for any other reason, the course of business between themis so arranged that the business transacted between them produces to theassessee more than the ordinary profits which might be expected to arise in thebusiness of the industrial undertaking or the hotel or the operation of the ship78[or the business of repairs to ocean-going vessels or other powered craft], the79[Assessing] Officer shall, in computing the profits and gains of the industrialundertaking or the hotel or the ship 80 [or the business of repairs to ocean-goingvessels or other powered craft] for the purposes of the deduction under thissection, take the amount of profits as may be reasonably deemed to have beenderived therefrom.(10) The Central Government may, after making such inquiry as it may think fit,direct, by notification in the Official Gazette, that the exemption conferred by thissection shall not apply to any class of industrial undertakings with effect fromsuch date as it may specify in the notification.]81[Deductions in respect of profits and gains from industrial undertakings orenterprises engaged in infrastructure development, etc. 8280-IA.83[(1) Where the gross total income of an assessee includes any profitsand gains derived by an undertaking or an enterprise from any businessreferred to in sub-section (4) (such business being hereinafter referred to as theeligible business), there shall, in accordance with and subject to the provisions ofthis section, be allowed, in computing the total income of the assessee, a78. Inserted by the Finance Act, 1983, w.e.f. 1-4-1984.79. Substituted for “Income-tax” by the Direct Tax Laws (Amendment) Act, 1987, w.e.f.1-4-1988.80. Inserted by the Finance Act, 1983, w.e.f. 1-4-1984.81. Sections 80-IA and 80-IB substituted for section 80-IA by the Finance Act, 1999, w.e.f.1-4-2000. Prior to its substitution, section 80-IA, as inserted by the Finance (No. 2) Act, 1991,w.e.f. 1-4-1991 and later on amended by the Finance Act, 1992, w.e.f. 1-4-1993, Finance Act,1993, w.e.f. 1-4-1994, Finance Act, 1994, w.e.f. 1-4-1994/1-4-1995, Finance Act, 1995, w.e.f.1-4-1996, Finance (No. 2) Act, 1996, w.e.f. 1-4-1997, Finance Act, 1997, w.r.e.f. 1-4-1996/w.e.f. 1-4-1998, Income-tax (Amendment) Act, 1998, w.r.e.f. 1-4-1995/w.e.f. 1-4-1998 andFinance (No. 2) Act, 1998, w.r.e.f. 1-4-1998/w.e.f. 1-4-1999, read as under :‘80-IA. Deduction in respect of profits and gains from industrial undertakings, etc., incertain cases.—(1) Where the gross total income of an assessee includes any profits andgains derived from any business of an industrial undertaking or a hotel or operation of aship or developing, maintaining and operating any infrastructure facility or scientific andindustrial research and development or providing telecommunication services whetherbasic or cellular including radio paging, domestic satellite service or network of trunkingand electronic data interchange services or construction and development of housingprojects or operating an industrial park or commercial production or refining of mineraloil in the North Eastern Region or in any part of India on or after the 1st day of April, 1997(such business being hereinafter referred to as the eligible business), to which this sectionapplies, there shall, in accordance with and subject to the provisions of this section, beallowed, in computing the total income of the assessee, a deduction from such profits andgains of an amount equal to the percentage specified in sub-section (5) and for suchnumber of assessment years as is specified in sub-section (6).(2) This section applies to any industrial undertaking which fulfils all the followingconditions, namely :—(i) it is not formed by splitting up, or the reconstruction, of a business already inexistence:(Contd. on p. 1.450)