Section 35(1)(ii)
of the Income-Tax Act, 1961 - Scientific research
expenditure - Approved scientific research association/institutions
Notification
No.4/2010 (F.No.203/64/2009/ITA-II), dated 28-1-2010
It is hereby notified for general information that the organization
M/s. School
of Human Genetics and Population Health, Kolkata, has been approved
by the
Central Government for the purpose of clause (ii)
of sub-section (1) of section 35 of
the Income-tax Act, 1961 (said Act), read with Rules 5C and 5E of the Income-tax
Rules, 1962 (said Rules), from Assessment year 2008-2009 onwards in
the category
of ‘other Institution’,
partly engaged in research activities subject to the following
conditions, namely:-
(i) The sums paid to the
approved organization shall be utilized for scientific
research;
-
The
approved organization shall carry out scientific research through its
faculty members or its enrolled students;
(iii) The approved organization shall
maintain separate books of accounts
in
respect of the sums received by it for scientific research, reflect therein the
amounts used for carrying out research, get such books audited by an
accountant as defined in the explanation to sub-section (2) of section 288 of
the said Act and furnish the report of such audit duly signed and verified by
such accountant to the Commissioner of Income-tax or the Director of
Income-tax having jurisdiction over the case, by the due date of furnishing the
return of income under sub-section (1) of section 139 of the said Act;
(iv) The approved organization shall
maintain a separate statement of donations
received and amounts applied for scientific research and a copy
of such
statement duly certified by the auditor shall accompany the report of audit
referred to above.
-
The
Central Government shall withdraw the approval if the approved
organization:-
-
-
fails
to maintain separate books of accounts
referred to in sub-paragraph (iii) of paragraph 1; or
-
fails
to furnish its audit report referred to in sub-paragraph (iii) of
paragraph 1; or
-
fails
to furnish its statement of the donations received and sums
applied for scientific research referred to in sub-paragraph (iv) of
paragraph 1; or
-
ceases
to carry on its research activities or its research activities are not
found to be genuine; or
-
ceases
to conform to and comply with the provisions of clause (ii) of
sub-section (1) of section 35 of the said Act read with rules 5C and 5E
of the said Rules.