Deduction in respect of profits and gains from business of hotels - Sector 80ID - Income Tax - Ready Reckoner - Income Tax

Deduction in respect of profits and gains from business of hotels - Sector 80-ID A deduction of an amount equal to 100% of the profits and gains derived from such business for 5 consecutive assessment years beginning from the initial assessment year shall be allowed to assessee engaged in the business of hotel located in the specified district having a World Heritage Site. The hotel should be 2 star/ 3 star/ 4 star. The deduction under this section shall be available only if:- (i) the eligible business is not formed by the splitting up, or the reconstruction, of a business already in existence; (ii) the eligible business is not formed by the transfer to a new business of a building previously used as a hotel or a convention centre, (iii) the eligible business is not formed by the transfer to a new business of machinery or plant previously used for any purpose, (iv) the assessee furnishes along with the return of income, the report of an audit duly signed and verified by an accountant. a. Up to the A.Y. 2019-20 - on or before the due date of submission of return of income b. From the A.Y. 2020-21 - one month prior to the due date of submission or return of the audit report should be uploaded on or before October 31, of the assessment year. (v) Deduction u/s 80-ID is not available unless it is claimed in the return of income. Moreover, return of income should be submitted on or before the due date of submission of return of income given by section 139(1).