Reserves for shipping business

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....t of the previous year in respect of which the deduction is to be allowed and credited to a reserve account, to be utilised in the manner laid down in sub-section (2) :] ^3[Provided that where the aggregate of the amounts carried to such reserve account from time to time exceeds twice the aggregate of the amounts of the paid-up share capital, the general reserves and amount credited to the share premium account of the assessee, no allowance under this sub-section shall be made in respect of such excess:] ^4[Provided further that for five assessment years commencing on or after the 1st day of April, 2001 and ending before the 1st day of April, 2006, the provisions of this sub-section shall have effect as if for the words "an amount not....

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....ear in which it was acquired, the amount so utilised in acquiring the ship, shall be deemed to be the profits,- (i) in a case referred to in clause (a), in the year in which the amount was so utilised ; or (ii) in a case referred to in clause (b), in the year immediately following the period of eight years specified in sub-section (2) ; or (iii) in a case referred to in clause (c), in the year in which the sale or transfer took place, and shall be charged to tax accordingly. ^8[(4) Where the ship is sold or otherwise transferred (other than in any scheme of demerger) after the expiry of the period specified in clause (c) of sub-section (3) and the sale proceeds are not utilised for the purpose of acquirin....

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....er this section and Chapter VI-A), as is debited to the profit and loss account of the previous year in respect of which the deduction is to be allowed and credited to a reserve account to be utilised in the manner laid down in sub-section (2) :" Earlier, Amended vide Section 12 of the Finance Act, 1992 w.e.f. 01-04-1993 3.  Substituted vide Section 15 of the Finance Act, 2002 w.e.f. 01-04-2003 before it was read as, "Provided that where the aggregate of the amounts carried to such reserve account from time to time exceeds twice the amount of the paid-up share capital (excluding the amounts capitalised from reserves) of the assessee, no allowance under this sub-section shall be made in respect of s....