EASY WAY TO LEARN SECTION 35

REVENUE EXPENSES BY ASSESSEE

i) Related to the business

ii) Expenses for last 3yrs before commencement of business

iii) 100% of the expenses are allowed

iv) Must be approved by prescribed authority

CAPITAL EXPENSES BY ASSESSEE

i) Related to the business

ii) Expenses for last 3yrs before commencement of business

iii) 100% of the expenses are allowed

iv) No deduction for land

CONTRIBUTION TO INSTITUTION

i) National lab

ii) IIT

iii) University

iv) Approved Scientific Research Institution

v) 125% of the contribution is allowed

vi) Business of institution is irrelevant

IN HOUSE RESEARCH

i) No deduction for land

ii) Drugs , Pharmaceuticals , Telecommunication

iii) Building – 100% allowed

iv) Expenditure – 150% allowed

CONTRIBUTION TO COMPANY USED FOR SCIENTIFIC RESEARCH

i) 125% of the contribution is allowed as deduction