SECTION 115BA – 25% TAX ON CERTAIN DOMESTIC COMPANIES.
- The assesse should be a “domestic company”.
- The company has been set up and registered on or after 01st March 2016.
- The company should be engaged in the business of manufacture or production of any article or thing and research in relation to, or distribution of, such article or thing manufactured or produced by it.
- The Company should not claim additional depreciation and deductions under section 10AA,32AC,32AD,33AB,33ABA.35(1)(ii)/(iia)/(iii)/35(2AA)/(2AB), 35AC, 35CCC, 35CCD and Section 80H to 80TT.
- The Company should not be adjusted to bring forward losses from earlier years.
The Company who satisfied all the above conditions has an option to pay taxes at the rate of 25%.
However, once the option is exercised by the Company, it cannot be subsequently withdrawn for the same in any previous year.