Section 35CC of the Income-tax Act, 1961--Guidelines for approval of programme of rural development - Income Tax - 231/1977

Section 35CC of the Income-tax Act, 1961--Guidelines for approval of programme of rural development Circular No. 231/1977 Dated 14/11/1977 The Finance (No.2) Act, 1977, has introduced a new section 35CC in the Income-tax ACt under which companies and co-operative societies will be entitled to a deduction in the computation of their taxable profits, of the expenditure incurred by them during the previous year on any programme of rural development. The deduction will be allowed only where the company or co-operative society has obtained the prior approval of the prescribed authority in respect of the programme before incurring such expenditure. The provisions of this section have been explained in paragraph 14 of Circular No.229 (F.No.131/9/77-TPL) dated 9th August, 1977, of the Central Board of Direct Taxes.