Deduction in respect of certain incomes of Offshore Banking Unit and IFSC - (Old) Section 147 / (Old) Section 80LA

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....a Special Economic Zone (SEZ); or • A Unit established in an International Financial Services Centre (IFSC). Other banking institutions or financial entities not covered cannot claim deduction under this section. The deduction is not available on entire business income. Only income arising from specified activities listed under section 147(3) qualifies. The person responsible for paying to a non-resident, not being a company, or to a foreign company, any sum chargeable under the Act, shall no information shall be required to be furnished for any sum that is not chargeable under the Act, irrespective of rule 220(2), if the remittance is made by a Unit of an International Financial Services Centre. [ Rule 220(3....

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....ts business operations by 31st March, 2030. Procedural Conditions for Claiming Deduction [ Section 147(4) ] • (a) a report in the Form No. 35, from an accountant certifying the correctness of claim of deduction; and • (b) a copy of the-- • (i) permission obtained under section 23(1)(a) of the Banking Regulation Act, 1949; or • (ii) permission or registration obtained under the International Financial Services Centres Authority Act, 2019. Restriction on Reconstruction or Splitting Up [ Section 147(5) ] In respect of any Offshore Banking Unit or any other unit referred in section 147(1), commencing operations on or after the 1st April, 2026, The deduction will not be availab....

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....100% of such income for first 5 AY (beginning with year when permission under SEBI Act/Banking Regulation Act. 50% of such income for the next 5 AY.  Provided that for the assessment year commencing on or after the 1st day of April, 2023, the deduction under this clause shall be 100% of such income. [Proviso added by FA, 2023] Part B - For unit of IFSC 100% of such income for any 10 consecutive AY's at the option of the assessee, out of 15 years, beginning with the year in which the permission under SEBI Act/Banking Regulation Act/IFSC Authority Act, 2019. D. Additional Conditions: - Certificate of Chartered Accountant in Form 10CCF shall be file with return of income with in due date. Cop....