Rule 5F - Prescribed authority, guidelines, form, manner and conditions for approval under clause (iia) of sub-section (1) of section 35.

Approval procedure for research funding: sets authority, application process, timelines, and conditions for ongoing compliance.

Designation of the Chief Commissioner as prescribed authority requires companies to apply in Form No. 3CF to the Commissioner with electronic filing and verification; the Commissioner checks for defects, may seek inquiries into genuineness, and forwards recommendations to the Chief Commissioner who may seek further information, verify activities, and grant, reject or withdraw approval subject to hearing. Approval is conditional on use of sums for scientific research, research being conducted by the company's own employees and assets, maintenance of separate books and statements, annual audited reports and an annual research statement by the due date of the income tax return.