Section 35(1)(ii) of the Income-tax Act, 1961 - Scientific research expenditure - Approved scientific research associations/institutions
It
is hereby notified for general information that the
organization Talwar Research Foundation, New Delhi 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 5D of the Income-tax Rules, 1962 (said Rules) from Assessment
year 2004-05 onwards in the category of 'other institution' subject
to the following conditions, namely:-
(i)
The sole objective of the approved 'scientific research association'
shall be to undertake scientific research;
(ii)
The approved organization shall carry out the scientific research activity by
itself;
(iii)
The approved organization shall maintain books of accounts and 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.
2.
The Central Government shall withdraw the approval if the approved
organization:-
fails
to maintain books of accounts referred to in subparagraph (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 donations received and
amounts 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 5D of the said Rules.
[F.No.
203/6/2008/ITA-II]