Clause 150 - Deduction in respect of certain income of Producer Companies. - Income Tax Bill, 2025

Deduction in respect of certain income of Producer Companies. 150. ( 1) An assessee, who, (a) is a Producer Company; (b) has a total turnover of less than one hundred crore rupees in any tax year; and (c) has any profits and gains derived from eligible business included in its gross total income, shall be allowed a deduction of 100% of the profits and gains attributable to such business for the tax year commencing on or after the 1st April, 2018, but before the 1st April, 2024. (2) The deduction under this section shall be allowed after the gross total income of the assessee mentioned in sub-section (1) is reduced by any other deduction under this Chapter to which such assessee is entitled. (3) For the purposes of this section, (a) eligible business means (i) the marketing of agricultural produce grown by the members; or (ii) the purchase of agricultural implements, seeds, livestock or other articles intended for agriculture for the purpose of supplying them to the members; or (iii) the processing of the agricultural produce of the members; (b) Member shall have the same meaning as assigned to it in section 378A(e) of the Companies Act, 2013 (18 of 2013); (c) Producer Company shall have the same meaning as assigned to it in section 378A(1) of the Companies Act, 2013 (18 of 2013).