21 December 2009
Ref sub sec 7A of sec 10A.No deduction will be allowed to amamlgated co. in the year of amalgamation but it will be allowed to amalgamating co.
22 December 2009
Section 10A(7A) provides that if the undertaking of an Indian company eligible for deduction under section 10A is transferred to another Indian company in a scheme of amalgamation , then the deduction will not be available to the amalgamating company (i.e. the transferor company )for the previous year in which the amalgamation takes place. Rather the transferee company i.e. the amalgamated company shall be entitled to claim deduction for that previous year and the subsequent previous year subject to the sunset clause i.e. upto assessment year 2011-12.
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