SECTION 35AC OF THE INCOME-TAX ACT, 1961 – ELIGIBLE PROJECTS OR SCHEMES, EXPENDITURE ON – NOTIFIED ELIGIBLE PROJECTS OR SCHEMES

NOTIFICATION NO. S.O. 2887(E) [NO. 126/2011 (F. NO. V-27015/5/2011-SO (NAT.COM))], DATED 27-12-2011

Whereas by notification of the Government of India in the Ministry of Finance (Department of Revenue) number S.O. 1267(E), dated the 28th December, 2001, issued under clause (b) of the Explanation to section 35AC of the Income-tax Act, 1961 (43 of 1961), the Central Government had notified at serial number 1, “Running of free medical services by Dardi Sahayak Trust at whole of Gujarat” by Smt. Ushaben Rasiklal Shaw Digvijay Lion Dardi Sahayak Trust. 5, Vishranti Gruh, Opp. Civil Hospital, Ahmedabad -380 016, as an eligible project or scheme for a period of three years beginning with assessment year 2002-03, which was extended further videnotification number S.O.783(E), dated the 5th July, 2004 for a period of two years beginning with financial year 2004-05, which was extended further vide notification number S.O.237(E), dated the 15th February, 2007 for a period of two years beginning with financial year 2007-08 and which was extended further vide notification number S.O. 1254(E), dated 18th May, 2009 for a period of three years beginning with financial year 2009-10;

And whereas by notification number S.O.237(E), dated the 15th February, 2007 the estimated cost was enhanced from Rs. 51.00 lakh including a corpus fund of Rs. 15.00 lakh to Rs. 102.00 lakh including a corpus fund of Rs.15.00 lakh;

And whereas the said project or scheme is likely to extend beyond ten years;

And, whereas, the National Committee for the Promotion of Social and Economic Welfare, being satisfied that the said project or scheme is being executed properly, made a further recommendation under sub-rule (5) of rule 11M of the Income-tax Rules, 1962 for extending the said project or scheme for a further period of three years and amending the project cost from Rs.102 lakh including corpus fund of Rs. 15 lakh to Rs. 171 lakh including a corpus fund of Rs. 15 lakh;

Now, therefore, the Central Government, in exercise of the powers conferred by sub-section (1) read with clause (b) of the Explanationto section 35AC of the Income-tax Act, 1961 (43 of 1961), hereby notifies the scheme or project “Running of free medical services by Dardi Sahayak Trust at whole of Gujarat” which is being carried out by Smt. Ushaben Rasiklal Shaw Digvijay Lion Dardi Sahayak Trust, 5, Vishranti Gruh, Opp. Civil Hospital, Ahmedabad – 380 016, as an eligible project or scheme for a further period of three years beginning with financial year 2012-13 i.e., 2012-13, 2013-14 & 2014-15;

(b) further amends the said notification number S.O. 1267(E), dated the 28th December, 2001, to the following effect, namely:—

In the said notification, in the Table against serial number 1, in column (4), relating to maximum cost to be allowed as deduction under section 35AC of Income Tax Act, 1961, for the letters, figures and word “Rs. 102 lakh including corpus fund of Rs. 15 lakh” the letters, figures and word “Rs. 171 lakh including a corpus fund of Rs. 15 lakh” shall be substituted.