Section 35ad applicability

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if an already incorporated company opens a new manufacturing unit of it in other state, is investment linked tax incentives under section 35 AD available
to it.?

also in addition what other benefits it can claim for new factory unit under income tax.
Replies (3)

Yes, an already incorporated company can claim investment-linked tax incentives under Section 35AD for setting up a new manufacturing unit in another state. Section 35AD provides for a deduction of 100% of the capital expenditure incurred in the setting up of a new manufacturing unit, subject to certain conditions. The deduction can be claimed in the year in which the asset is put to use.

In addition to the investment-linked tax incentives under Section 35AD, a new factory unit can also claim other benefits

1. Deduction of Depreciation

2. Deduction of Expense of setting up

3. Deduction of Interest on Loan

4. Reduced Rate of Taxes

5. Deduction of Loss with certain conditions

Thank you so much sir.

thank you. that's great 

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