Printing and publication of books u/s 80QQ Income - Tax Act, 1961. - Income Tax - 995/CBDT

INSTRUCTION NO. 995/CBDT ., Dated : August 5, 1976 Section(s) Referred: 80QQ Statute: Income - Tax Act, 1961 With a view to encouraging the publication of books in India a new provision had been introduced in section 80-QQ of the Income-tax Act under which any person carrying on a business in India of printing and publication of books, or only publication of books without the activity of printing, will be entitled to a deduction in the computation of his taxable income of an amount equal to 20% of the profits, from such business. The deduction under this section is not admissible to an assessee who carries on business of "printing" of books unless the books so printed are also "published" by him. For the purposes of this provision "books" will not include newspapers. journals, magazines, diaries, brochures, tracts, pamphlets and other publications of a similar nature by whatever name called. 2. Representations have been made to the Board that Income-tax Officers have been denying the benefit of section 80-QQ to publishers of books intended for the use of students. The Board is of the view that except for items specifically excluded by section 80-QQ (3) as explained above, no attempt should be made to deny the benefit of section 80-QQ to book publishers on the ground that the books are to be used by the students.