Section 80OCentral Act

Section 80O: [ Deduction in respect of royalties, etc., from certain foreign enterprises.- ] [Substituted by Act 32 of 1971, Section 21 (w.e.f. 1.4.1972).]

The Income-tax Act, 1961

[ Deduction in respect of royalties, etc., from certain foreign enterprises.- ] [Substituted by Act 32 of 1971, Section 21 (w.e.f. 1.4.1972).]

[Where the gross total income of an assessee, being an Indian company ] [Substituted by Act 20 of 1974, Section 9, for " (1) Where the gross total income of an assessee, being an Indian Company or a person other than a company, who is resident in India" (w.e.f. 1.4.1975).][or a person (other than a company) who is resident in India] [ Inserted by Act 49 of 1991, Section 34 (w.e.f. 1.4.1992).] [Inserted by Act 20 of 2002, Section 34 (w.e.f. 1.4.2003). ][, includes ] [Substituted by Act 32 of 1971, Section 21 (w.e.f. 1.4.1972).][any income received by the assessee from the Government of a foreign State or foreign enterprise in consideration for the use outside India of any patent, invention, design or registered trade mark] [ Substituted by Act 26 of 1997, Section 29, for certain words (w.e.f. 1.4.1998).] [* * *] [ Certain words omitted by Act 49 of 1991, Section 34 (w.e.f. 1.4.1992).] [and such income is received in convertible foreign exchange in India, or having been received in convertible foreign exchange outside India, or having been converted into convertible foreign exchange outside India, is brought into India, by or on behalf of the assessee in accordance with any law for the time being in force for regulating payments and dealings in foreign exchange, there shall be allowed, in accordance with and subject to the provisions of this section, ] [ Substituted by Act 26 of 1988, Section 26, for certain words (w.e.f. 1.4.1988).][a deduction of an amount equal to-

(i)

forty per cent. for an assessment year beginning on the 1st day of April, 2001;

(ii)

thirty per cent. for an assessment year beginning on the 1st day of April, 2002;

(iii)

twenty per cent. for an assessment year beginning on the 1st day of April, 2003;

(iv)

ten per cent. for an assessment year beginning on the 1st day of April, 2004;

of the income so received in, or brought into, India, in computing the total income of the assessee and no deduction shall be allowed in respect of the assessment year beginning on the 1st day of April, 2005 and any subsequent assessment year] [ Substituted by Act 10 of 2000, Section 41, for certain words (w.e.f. 1.4.2001).]:] [Substituted by Act 32 of 1985, Section 19, for Section 80-HHC (w.e.f. 1.4.1986).][* * *] [ Proviso omitted by Act 49 of 1991, Section 34 (w.e.f. 1.4.1992).][[Provided] [ Inserted by Act 11 of 1987, Section 36 (w.e.f. 1.4.1988).][that such income is received in India within a period of six months from the end of the previous year, or] [ Inserted by Act 11 of 1987, Section 36 (w.e.f. 1.4.1988).][within such further period as the competent authority may allow in this behalf] [ Substituted by Act

27 of 1999

, Section 53 (w.e.f. 1.6.1999).]:] [ Substituted by Act 10 of 2000, Section 33, for " a deduction from such profits and gains of the amount equal to fifty per cent. thereof" (w.e.f. 1.4.2001).][Provided further that no deduction under this section shall be allowed unless the assessee furnished a certificate, in the prescribed form, alongwith the return of income, certifying that the deduction has been correctly claimed in accordance with the provisions of this section.] [ Inserted by Act

27 of 1999

, Section 53 (w.e.f. 1.6.1999).][Explanation. - For the purposes of this section,-

(i)"convertible foreign exchange" means foreign exchange which is for the time being treated by the Reserve Bank of India as convertible foreign exchange for the purposes of the law for the time being in force for regulating payments and dealings in foreign exchange;]

(ii)[ "foreign enterprise" means a person who is a non-resident;] [ Substituted by Act 11 of 1987, Section 36, for Clause (ii) (w.e.f. 1.4.1988).]

(iii)[ services rendered or agreed to be rendered outside India shall include services rendered from India but shall not include services rendered in India; ] [ Inserted by Act 49 of 1991, Section 34 (w.e.f. 1.4.1992).]

(iv)[ "competent authority" means the Reserve Bank of India or such other authority as is authorised under any law for the time being in force for regulating payments and dealings in foreign exchange.] [ Inserted by Act

27 of 1999

, Section 53 (w.e.f. 1.6.1999).]

[* * *] [ Sub-Section (2) omitted by Act 20 of 1974, Section 9 (w.e.f. 1.4.1975).]

Sec 80N — Deduction in respect of dividends received from certain foreign companies

Sec 80P — [ Deduction in respect of income of co-operative societies. [Inserted by Act 20 of 1967, Section 33 and Schedule III (w.e.f. 1.4.1968).]

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