Approval under Section 35(1)(ii) allows donor deductions subject to separate research accounts, audited filing and auditor certification. Approval is granted to Schizophrenia Research Foundation (India) under Section 35(1)(ii) as an institution partly engaged in research, subject to conditions: maintain separate accounts for research; submit audited Income and Expenditure accounts for each approved year to the Commissioner or Director of Income-tax (Exemptions) by the due date for filing returns or within ninety days of the notification, whichever is later; and provide an auditor's certificate specifying amounts received for qualifying scientific research and certifying that the expenditure was incurred for scientific research.