Dividend paid or deemed to have been paid by company out of its "tax holiday" profits - Relief denied to shareholders in the absence of proper certificate re. percentage of tax-free profits - Whether relief under the section should be allowed on production of necessary certificate after expiry of time limit specified under section 154(7) - Order under section 119(2)(b)

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....Circular<br>Income Tax<br>Circular No 79 Dated 25/2/1972 SECTION 80K - DIVIDENDS ATTRIBUTABLE TO PROFITS AND GAINS FROM NEW INDUSTRIAL UNDERTAKINGS Dividend paid or deemed to have been paid by company out of its "tax holiday" profits - Relief denied to shareholders in the absence of proper certificate re. percentage of tax-free profits - Whether relief under the section should be allowed on pro....

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....mpanies indicating the percentage of the tax-free profits as required under rule 31(4) of the Income-tax Rules. This mostly happened when the companies declared dividend even before the Income-tax Officer assessing them had determined what percentage of their profits and gains were exempt from tax under section 80J. 3. When in the type of cases mentioned in paragraph 2, the shareholders are able ....