Chapter VI-A deductions in ITR- 3 [80-IA, 80-IB etc..]
Hi, In this post we will see the different types of chapter VI-A deductions in ITR-3 which includes 80-IA, 80-IAB, 80-IB, 80-IBA, 80-IC, 80-JJA, 80-JJAA and 80-IE.
This includes the chapter VI-A deduction allowed under ITR-1 and 2, which can be viewed here:
Chapter VI-A deductions in ITR-1 and 2 [80C and 80D]
Chapter VI-A deductions in ITR-1 & 2 – Part II [80E, 80G, 80TT & 80E]
To begin with, for-profits and gains from industrial undertakings dealing with infrastructure development, etc., a hundred per cent deduction of the profits and gains amount can be claimed in computing the total income of the assessee under 80-IA for ten consecutive assessment years.
Based on the categories listed, select the required category and make the entry accordingly and click on save.
The same will be reflected in the software.
Note:The complete amount is exempted under this section.
An assessee being a developer of SEZ is eligible for deduction under the section for income earned from any business of developing an SEZ [Special Economic Zone, notified on or after the 1st day of April 2005 under the Special Economic Zones Act, 2005]
After entering the relevant details, then the total gross entered and the total qualifying amount will be displayed. This will be considered for IT computation.
Note: The provisions of this section are not applicable to an assessee, being a developer, where the development of Special Economic Zone begins on or after the 1st day of April 2017.
For-profits and gains arising out of industrial undertakings except for those undertakings which deal with infrastructure development a hundred per cent deduction of the profits and gains amount can be claimed in computing the total income of the assessee under 80-IB for ten consecutive assessment years.
You can select the required category and make the entries, then save. The same is shown in the software.
Note: The complete amount is exempted under this section.
80-IBA provides tax to builders promoting housing schemes. The assessee in such scheme is eligible for 100% tax deduction of profits and gains of such business from the gross total income.
After entering the relevant details, save the details and it will be considered for IT computation.
Section 80-IC is a special provision that allows Deduction in respect of Profits and Gains only when such undertakings or enterprises are established in particular states i.e. Sikkim, Himachal Pradesh, Uttaranchal or any of the North-Eastern states.
Select the required category, state, and then enter the value and save it. The same is shown in the software.
Note :The complete amount is exempted under this section
For-profits and gains derived from the business of collecting and processing or treating biodegradable waste a hundred per cent deduction of the profits and gains amount can be claimed in computing the total income of the assessee under for five consecutive assessment years.
Enter the value and save.
In 80JJAA one can claim additional expenses that too without any additional investment of 30% for a new employee.
Note:
In case of an assessee opting to the provision to sec 115BAA or Sec. 115BAB, all other deductions under Chapter VI-A will not be allowed except to Sec. 80JJAA deduction on employment.
A hundred per cent deduction of the profits and gains amount can be claimed in computing the total income of the *assessee under for 10 consecutive assessment years.
Applicable to an assessee which:
- Begins to manufacture or produce any eligible article or thing
- Handle substantial expansion to manufacture or produce any eligible article or thing
- Carry on any eligible business.
Select the required option and click on save. The same will be reflected in the software.
This completes the process of entering Chapter VI-A Deduction details of ITR-3 in Saral Income Ta
