Research approval under section 35(1)(ii) requires separate research accounts, annual returns and audited filings before extension. Approval under section 35(1)(ii) is granted to the Alchemic Research Centre as an 'Association' for tax recognition of scientific research expenditure from 1-4-1986 to 31-3-1988, subject to conditions: maintain separate research accounts; furnish annual research activity returns by 30 April; submit audited accounts, income and expenditure statements and balance-sheets to the prescribed authority and the Commissioner by 30 June; and apply to the Central Board of Direct Taxes three months before expiry for extension.