What is last date 2 start industry in industrially backward 123 district to avail income tax benifit u/s 80 IB



Sunset period,latest update to avail income tax relief under section 80 IB for starting an industry in a industrially backward districts.

What is last date 2 start industry in industrially backward 123 district to avail income tax benifit u/s 80 IB
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One Reply to “What is last date 2 start industry in industrially backward 123 district to avail income tax benifit u/s 80 IB”

  1. As per subsection 4 of 80-IA , the last date on which deduction can start from is 31 /3/2004 .

    Read the subsection
    (4) The amount of deduction in the case of an industrial undertaking in an industrially backward State specified in the Eighth Schedule shall be hundred per cent of the profits and gains derived from such industrial undertaking for five assessment years beginning with the initial assessment year and thereafter twenty-five per cent (or thirty per cent where the assessee is a company) of the profits and gains derived from such industrial undertaking :

    Provided that the total period of deduction does not exceed ten consecutive assessment years (or twelve consecutive assessment years where the assessee is a co-operative society) subject to fulfilment of the condition that it begins to manufacture or produce articles or things or to operate its cold storage plant or plants during the period beginning on the 1st day of April, 1993 and ending on the 31st day of March, 2004 :

    initial assessment year means

    (i) in the case of an industrial undertaking or cold storage plant or ship or hotel, means the assessment year relevant to the previous year in which the industrial undertaking begins to manufacture or produce articles or things, or to operate its cold storage plant or plants or the cold chain facility or the ship is first brought into use or the business of the hotel starts functioning;

    It means that , the last assessment year for which deduction u/s 80-IA is allowable for backward area is Asst Yr 2013-14





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