Section 80-IAC - Carry forward and set off
of loss in case of certain companies -
The existing provisions inter
alia, provide that an eligible start-up shall be allowed a deduction of an
amount equal to one hundred per cent of the profits and gains derived from
eligible business for three consecutive assessment years out of five years
beginning from the year in which such eligible start-up is incorporated.
As start-ups may take time to
derive profit out of their business, it is proposed to provide that deduction
under section 80-IAC can be claimed by an eligible start-up for any three
consecutive assessment years out of seven years beginning from the year in
which such eligible start-up is incorporated.
The amendment will be effective
from 1st April 2018.