Scientific Research approval under Section 35 grants university-category tax recognition for research activities at IIIT Hyderabad. Central Government approves International Institute of Information Technology, Hyderabad as an institution engaged in Scientific Research under the category 'University, college or other institution' for the purposes of clause (ii) of sub section (1) of section 35 of the Income tax Act read with the Income tax Rules, with effect from publication and applicable to the specified assessment years; the explanatory memorandum states no person is adversely affected by the retrospective effect.