Income Tax Act, 2025
Section 2: Subs. by s. 37, ibid., for clause (a) (w.e.f. 12018).
2. Subs. by s. 37, ibid., for clause (a) (w.e.f. 12018).
404
1[80-IC. Special provisions in respect of certain undertakings or enterprises in certain special
category States.—(1) Where the gross total income of an assessee includes any profits and gains derived
by an undertaking or an enterprise from any business referred to in sub-section (2), there shall, in
accordance with and subject to the provisions of this section, be allowed, in computing the total income of
the assessee, a deduction from such profits and gains, as specified in sub-section (3).
(2) This section applies to any undertaking or enterprise,—
(a) which has begun or begins to manufacture or produce any article or thing, not being any
article or thing specified in the Thirteenth Schedule, or which manufactures or produces any article or
thing, not being any article or thing specified in the Thirteenth Schedule and undertakes substantial
expansion during the period beginning—
(i) on the 23rd day of December, 2002 and ending before the 2[1st day of April, 2007], in
any Export Processing Zone or Integrated Infrastructure Development Centre or Industrial
Growth Centre or Industrial Estate or Industrial Park or Software Technology Park or Industrial
Area or Theme Park, as notified by the Board in accordance with the scheme framed and
notified by the Central Government in this regard, in the State of Sikkim; or
(ii) on the 7th day of January, 2003 and ending before the 1st day of April, 2012, in any
Export Processing Zone or Integrated Infrastructure Development Centre or Industrial Growth
Centre or Industrial Estate or Industrial Park or Software Technology Park or Industrial Area or
Theme Park, as notified by the Board in accordance with the scheme framed and notified by the
Central Government in this regard, in the State of Himachal Pradesh or the State of Uttaranchal;
or
(iii) on the 24th day of December, 1997 and ending before the 1st day of April, 2007, in any
Export Processing Zone or Integrated Infrastructure Development Centre or Industrial Growth
Centre or Industrial Estate or Industrial Park or Software Technology Park or Industrial Area or
Theme Park, as notified by the Board in accordance with the scheme framed and notified by the
Central Government in this regard, in any of the North-Eastern States;
(b) which has begun or begins to manufacture or produce any article or thing, specified in the
Fourteenth Schedule or commences any operation specified in that Schedule, or which manufactures
or produces any article or thing, specified in the Fourteenth Schedule or commences any operation
specified in that Schedule and undertakes substantial expansion during the period beginning—
(i) on the 23rd day of December, 2002 and ending before the 2[1st day of April, 2007], in the
State of Sikkim; or
(ii) on the 7th day of January, 2003 and ending before the 1st day of April, 2012, in the State
of Himachal Pradesh or the State of Uttaranchal; or
(iii) on the 24th day of December, 1997 and ending before the 1st day of April, 2007, in any
of the North-Eastern States.
(3) The deduction referred to in sub-section (1) shall be—
(i) in the case of any undertaking or enterprise referred to in sub-clauses (i) and (iii) of clause (a)
or sub-clauses (i) and (iii) of clause (b), of sub-section (2), one hundred per cent. of such profits and
gains for ten assessment years commencing with the initial assessment year;
(ii) in the case of any undertaking or enterprise referred to in sub-clause (ii) of clause (a) or
sub-clause (ii) of clause (b), of sub-section (2), one hundred per cent of such profits and gains for five
assessment years commencing with the initial assessment year and thereafter, twenty-five per cent.
(or thirty per cent. where the assessee is a company) of the profits and gains.
(w.e.f. 12018).
404
1[80-IC. Special provisions in respect of certain undertakings or enterprises in certain special
category States.—
Where the gross total income of an assessee includes any profits and gains derived
by an undertaking or an enterprise from any business referred to in sub-section
This section applies to any undertaking or enterprise,—
which has begun or begins to manufacture or produce any article or thing, not being any
article or thing specified in the Thirteenth Schedule, or which manufactures or produces any article or
thing, not being any article or thing specified in the Thirteenth Schedule and undertakes substantial
expansion during the period beginning—
on the 23rd day of December, 2002 and ending before the 2[1st day of April, 2007], in
any Export Processing Zone or Integrated Infrastructure Development Centre or Industrial
Growth Centre or Industrial Estate or Industrial Park or Software Technology Park or Industrial
Area or Theme Park, as notified by the Board in accordance with the scheme framed and
notified by the Central Government in this regard, in the State of Sikkim; or
on the 7th day of January, 2003 and ending before the 1st day of April, 2012, in any
Export Processing Zone or Integrated Infrastructure Development Centre or Industrial Growth
Centre or Industrial Estate or Industrial Park or Software Technology Park or Industrial Area or
Theme Park, as notified by the Board in accordance with the scheme framed and notified by the
Central Government in this regard, in the State of Himachal Pradesh or the State of Uttaranchal;
or
on the 24th day of December, 1997 and ending before the 1st day of April, 2007, in any
Export Processing Zone or Integrated Infrastructure Development Centre or Industrial Growth
Centre or Industrial Estate or Industrial Park or Software Technology Park or Industrial Area or
Theme Park, as notified by the Board in accordance with the scheme framed and notified by the
Central Government in this regard, in any of the North-Eastern States;
which has begun or begins to manufacture or produce any article or thing, specified in the
Fourteenth Schedule or commences any operation specified in that Schedule, or which manufactures
or produces any article or thing, specified in the Fourteenth Schedule or commences any operation
specified in that Schedule and undertakes substantial expansion during the period beginning—
on the 23rd day of December, 2002 and ending before the 2[1st day of April, 2007], in the
State of Sikkim; or
on the 7th day of January, 2003 and ending before the 1st day of April, 2012, in the State
of Himachal Pradesh or the State of Uttaranchal; or
on the 24th day of December, 1997 and ending before the 1st day of April, 2007, in any
of the North-Eastern States.
The deduction referred to in sub-section
shall be—
in the case of any undertaking or enterprise referred to in sub-clauses
and
of clause
or sub-clauses
and
of clause
in the case of any undertaking or enterprise referred to in sub-clause
of clause
or
sub-clause
of clause