India - Income Tax Act 2010 - Saarc

S. 80-IB I.T. ACT, 1961 1.472(b) has the main object of scientific and industrial research and development;(c) is for the time being approved by the prescribed authority 54 at anytime before the 1st day of April, 1999.55[(8A) The amount of deduction in the case of any company carrying onscientific research and development shall be hundred per cent of the profits andgains of such business for a period of ten consecutive assessment years,beginning from the initial assessment year, if such company—(i) is registered in India;(ii) has its main object the scientific and industrial research and development;(iii) is for the time being approved by the prescribed authority 56 at anytime after the 31st day of March, 2000 but before the 1st day of April,57[2007];(iv) fulfils such other conditions as may be prescribed 58 .]59[(9) The amount of deduction to an undertaking shall be hundred per cent ofthe profits for a period of seven consecutive assessment years, including theinitial assessment year, if such undertaking fulfils any of the following, namely:—(i) is located in North-Eastern Region and has begun or begins commercialproduction of mineral oil before the 1st day of April, 1997;(ii) is located in any part of India and has begun or begins commercialproduction of mineral oil on or after the 1st day of April, 1997;54. See rule 18BBD.55. Inserted by the Finance Act, 2000, w.e.f. 1-4-2001.56. Prescribed authority is Secretary, Department of Scientific and Industrial Research,Ministry of Science and Technology, Govt. of India.57. Substituted for “2005” by the Finance Act, 2005, w.e.f. 1-4-2006. Earlier “2005” wassubstituted for “2004” by the Finance (No. 2) Act, 2004, w.e.f. 1-4-2005 and “2004” wassubstituted for “2003” by the Finance Act, 2003, w.e.f. 1-4-2004.58. See rule 18DA.59. Substituted by the Finance (No. 2) Act, 2009, w.r.e.f. 1-4-2000. Prior to its substitution, subsection(9), as amended by the Finance Act, 2008, w.e.f. 1-4-2008, read as under :“(9) The amount of deduction to an undertaking which begins commercial production orrefining of mineral oil shall be hundred per cent of the profits for a period of sevenconsecutive assessment years including the initial assessment year :Provided that where the undertaking is located in North-Eastern Region, it has begun orbegins commercial production of mineral oil before the 1st day of April, 1997 and whereit is located in any part of India, it begins commercial production of mineral oil on or afterthe 1st day of April, 1997 :Provided further that where the undertaking is engaged in refining of mineraloil, it begins refining on or after the 1st day of October, 1998:Provided also that where such undertaking begins refining of mineral oil on or after the1st day of April, 2009, no deduction under this section shall be allowed in respect of suchundertaking unless such undertaking fulfils all the following conditions, namely:—(i) it is wholly owned by a public sector company or any other company in which apublic sector company or companies hold at least forty-nine per cent of the votingrights;(ii) it is notified by the Central Government in this behalf on or before the 31st day ofMay, 2008; and(iii) it begins refining not later than the 31st day of March, 2012.”