Executive Summary:
This notification amends the Income-tax Rules, 1962, concerning the report required for claiming deductions under Section 80JJAA of the Income-tax Act, 1961. It introduces the Income-tax 6th Amendment Rules, 2017, effective from April 1, 2017. The notification substitutes the existing rule 19AB and Form No. 10DA in Appendix II with a new rule and form related to the accountant's report for claiming the specified deduction.
Key Points / Main Content:
* **Amendment Introduction:**
* The Income-tax Rules, 1962 are further amended.
* These amendments are called the Income-tax 6th Amendment, Rules, 2017.
* The amendments came into force on April 1, 2017.
* **Substitution of Rule 19AB:**
* Existing rule 19AB in the Income-tax Rules, 1962 is replaced.
* The new rule 19AB specifies that the report of an accountant required for claiming deduction under section 80JJAA shall be in Form No. 10DA.
* **Substitution of Form No. 10DA:**
* Form No. 10DA in Appendix II of the principal rules is replaced.
* The new Form No. 10DA is specified for the report under section 80JJAA of the Income-tax Act, 1961.
* **Form No. 10DA Details:**
* The form requires examination of the assessee's accounts and records.
* It includes certification of the deduction claimed under section 80JJAA, based on additional employee cost.
* It requires details of the additional employee cost provided in an annexure.
* The report must be signed and sealed by a chartered accountant.
* **Annexure to Form No. 10DA:**
* Requires the name, address, and PAN of the assessee.
* Specifies details regarding the assessment year.
* Details of additional employee cost incurred for existing and new businesses are required.
* **Definition of Additional Employee:**
* An additional employee increases the total number of employees.
* Exclusions apply to employees with emoluments exceeding twenty-five thousand rupees per month.
* Exclusions apply to employees whose entire contribution is paid by the Government under the Employees' Pension Scheme.
* Exclusions apply to employees employed for less than 240 days (150 days for apparel manufacturing).
* Exclusions apply to employees who do not participate in the recognised provident fund.
* **Definition of Emoluments:**
* Emoluments include any sum paid in lieu of employment.
* Emoluments exclude employer contributions to pension/provident funds and lump-sum payments at termination/retirement.
Impact Analysis:
* **Assessees (Employers):**
* *Impact:* Affected by changes to the reporting requirements for claiming deductions related to additional employee costs under Section 80JJAA.
* *Action Required:* Use the new Form No. 10DA and comply with the revised definitions of "additional employee" and "emoluments" when preparing their income tax returns and claiming deductions.
* **Chartered Accountants:**
* *Impact:* Need to be familiar with the new Form No. 10DA and the revised definitions to accurately prepare and certify the report required under Section 80JJAA.
* *Action Required:* Ensure compliance with the new reporting format and definitions when providing reports to assessees for claiming deductions.
* **Tax Authorities (Central Board of Direct Taxes):**
* *Impact:* Responsible for implementing and enforcing the amended rules and ensuring compliance by assessees.
* *Action Required:* Update internal guidelines and systems to reflect the changes in reporting requirements and definitions.
Key Entities Referenced
Incometax Act, 1961: A law related to income tax in India, mentioned in the context of amendments and rules.
Central Board of Direct Taxes: An organization responsible for making rules related to income tax.
Incometax Rules, 1962: Rules pertaining to income tax, being amended by this notification.
Form No. 10DA: A form related to claiming deduction under section 80JJAA, as per the notification.
Chartered Accountants Act, 1949: The legislation governing chartered accountants, referenced in the context of who can provide the report in Form No. 10DA.
Employees' Provident Funds and Miscellaneous Provisions Act, 1952: A law related to employee benefits, specifically pension schemes.
New Delhi: The location where the notification was issued.
Section 80JJAA: Section pertaining to claiming deduction under incometax act, 1961.
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EXTRAORDINARY
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PART II—Section 3—Sub-section (i)
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PUBLISHED BY AUTHORITY
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No. 258] NEW DELHI, MONDAY, APRIL 3, 2017/CHAITRA 13, 1939
िव(cid:7004)त म(cid:7074)ं ालय
(राज(cid:7021)व िवभाग)
(क(cid:7286)(cid:7076)ीय (cid:7079)(cid:7004)य (cid:6979) कर बोड(cid:6981))
अिधसचू ना
नई (cid:7408)द(cid:7016) ली, 3 अ(cid:7079)ैल, 2017
आय-कर
सा.का.िन. 325(अ).—क(cid:7286)(cid:7076)ीय (cid:7079)(cid:7004) य(cid:6979) कर बोड(cid:6981), आय-कर अिधिनयम, 1961 (1961 का 43) क(cid:7409) धारा 295 के साथ प(cid:7407)ठत
धारा 80ञञकक क(cid:7409) उपधारा (2) के खंड (ग) (cid:7367)ारा (cid:7079)द(cid:7004) त शि(cid:6989) तय(cid:7298) का (cid:7079)योग करते (cid:7263)ए, आय-कर िनयम, 1962 का और संशोधन करने के
िलए िन(cid:7013) निलिखत िनयम बनाता ह,ै अथा(cid:6981)त् :--
1. (1) इन िनयम(cid:7298) का संि(cid:6979)(cid:7009) त नाम आय-कर (छठा संशोधन) िनयम, 2017 ह ै।
(2) ये 1 अ(cid:7079)ैल, 2017 से (cid:7079)वृ(cid:7004) त ह(cid:7298)गे ।
2. आय-कर िनयम, 1962 (िजसे इसम(cid:7286) इसके प(cid:7019) चात् मूल िनयम कहा गया ह)ै के िव(cid:7378)मान िनयम 19कख के (cid:7021)थ ान पर,
िन(cid:7013) निलिखत िनयम रखा जाएगा, अथा(cid:6981)त् :--
"19कख. धारा 80ञञकक के अधीन कटौती का दावा करन े के िलए (cid:7407)रपोट(cid:6981) का (cid:7079)(cid:7272)प—लेखापाल क(cid:7409) (cid:7407)रपोट(cid:6981), जो िनधा(cid:6981)(cid:7407)रती
(cid:7367)ारा धारा 80ञञकक क(cid:7409) उपधारा (2) के खंड (ग) के अधीन आय-कर क(cid:7409) िववरणी के साथ दी जानी अपेि(cid:6979)त ह,ै (cid:7079)(cid:7272)प
10घक म(cid:7286) होगी ।"।
3. मूल िनयम(cid:7298) के प(cid:7407)रिश(cid:7020) ट 2 म(cid:7286), (cid:7079)(cid:7272)प 10घक के (cid:7021) थान पर, िन(cid:7013) निलिखत (cid:7079)(cid:7272)प रखा जाएगा, अथा(cid:6981)त् :--
"(cid:7079)(cid:7272)प 10घक
(िनयम 19कख दिे खए)
आय-कर अिधिनयम, 1961 क(cid:7409) धारा 80ञञकक के अधीन (cid:7407)रपोट(cid:6981)
1. म(cid:7289)ने/हमने* 31 माच(cid:6981), ............ को समा(cid:7009) त (cid:7263)ए वष(cid:6981) के दौरान .............................. के कारबार म(cid:7286) लगे िनधा(cid:6981)(cid:7407)रती
.......................................................... ((cid:7021) थायी खाता सं(cid:6990) यांक सिहत िनधा(cid:6981)(cid:7407)रती का नाम और पता) के लेखा(cid:7312) और अिभलेख(cid:7298) क(cid:7409)
परी(cid:6979)ा कर ली ह ै।
1868 GI/2017 (1)(cid:32)2 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II—SEC. 3(i)]
2. म(cid:7289)/हम* यह (cid:7079)मािणत करता (cid:7264)/ंकरते ह*(cid:7289) (cid:7408)क िनधा(cid:6981)रण वष(cid:6981) ........................... क(cid:7409) बाबत आय-कर अिधिनयम, 1961 क(cid:7409)
धारा 80ञञकक क(cid:7409) उपधारा (1) के अधीन िनधा(cid:6981)(cid:7407)रती (cid:7367)ारा दावा क(cid:7409) जाने वाली कटौती ........................ (cid:7271)पए ह,ै िजसका अवधारण
पूव(cid:6981)वत(cid:7278) वष(cid:6981) म(cid:7286) िनधा(cid:6981)(cid:7407)रती (cid:7367)ारा उ(cid:6989) त कारबार क(cid:7409) दशा म(cid:7286) उपगत अित(cid:7407)र(cid:6989) त कम(cid:6981)चारी लागत के आधार पर (cid:7408)कया गया ह ै । उ(cid:6989)त रकम इस
(cid:7079)(cid:7272)प के उपाबंध म(cid:7286) (cid:7408)दए गए (cid:7011) यौर(cid:7298) के आधार पर िनकाली गई ह ै।
(cid:7021) थान : ........................ ..................................................
तारीख : ........................ (लेखापाल के ह(cid:7021) ता(cid:6979)र और मुहर/मु(cid:7076)ा)
ह(cid:7021) ता(cid:6979)रकता(cid:6981) का नाम ..............................
पूरा पता ........................................
................. .....................
सद(cid:7021) यता सं. ..................... ..............
(cid:7407)ट(cid:7009)प ण :
1. * जो लागू न हो, उसे काट दीिजए ।
2. यह (cid:7407)रपोट(cid:6981) चाट(cid:6981)ड(cid:6981) अकाउ(cid:7008) टे(cid:7008) ट अिधिनयम, 1949 (1949 का 32) के अथा(cid:6981)(cid:7008) तग(cid:6981)त ऐसे चाट(cid:6981)ड(cid:6981) अकाउ(cid:7008) टे(cid:7008) ट (cid:7367)ारा दी जानी चािहए,
िजसके पास उस अिधिनयम क(cid:7409) धारा 6(1) के अधीन िविधमा(cid:7008) य (cid:7018) यवसाय (cid:7079)माणप(cid:7074) ह ै और जो धारा 288 क(cid:7409) उपधारा (2) के नीचे के
(cid:7021) प(cid:7020)ट ीकरण के खंड (क) या खंड (ख) म(cid:7286) िन(cid:7416)द(cid:7020)(cid:6981) ट कोई (cid:7018) यि(cid:6989) त नह(cid:7277) ह ै।
3. य(cid:7408)द इस (cid:7407)रपोट(cid:6981) म(cid:7286) उि(cid:7016) लिखत बात का उ(cid:7004) तर नकारा(cid:7004) मक है या कोई शत(cid:6981) लगाकर (cid:7408)दया गया है तो उसके िलए कारण अव(cid:7019)य (cid:7408)दए
जाने चािहए ।
उपाबंध
((cid:7079)ा(cid:7272)प सं. 10घक का पैरा 2 दिे खए)
1. िनधा(cid:6981)(cid:7407)रती का नाम :
2. िनधा(cid:6981)(cid:7407)रती का पता :
3. िनधा(cid:6981)(cid:7407)रती का (cid:7021) थायी खाता सं(cid:6990) याकं :
4. िनधा(cid:6981)रण वष(cid:6981)
5. अित(cid:7407)र(cid:6989) त कम(cid:6981)चारी उपगत लागत
(I) (cid:7408)कसी िव(cid:7378)मान कारबार क(cid:7409) दशा म(cid:7286) :
(क) पूव(cid:6981)वत(cid:7278) वष(cid:6981) के अंितम (cid:7408)दन को कम(cid:6981)चारी क(cid:7409) सं(cid:6990) या
(ख) पूव(cid:6981) वष(cid:6981) के अंितम (cid:7408)दन को कम(cid:6981)चारी क(cid:7409) सं(cid:6990) या
(ग) पवू व(cid:6981) त(cid:7278) वष (cid:6981) के अिं तम (cid:7408)दन को िनयोिजत कमच(cid:6981) ा(cid:7407)रय(cid:7298) क(cid:7409) कुल स(cid:6990)ं य ा
से कम(cid:6981)चा(cid:7407)रय(cid:7298) क(cid:7409) सं(cid:6990) या म(cid:7286) वृि(cid:7373) (क) - (ख)
(घ) वष(cid:6981) के दौरान िनयोिजत अित(cid:7407)र(cid:6989) त कम(cid:6981)चारी* क(cid:7409) सं(cid:6990) या
(ङ) कटौती के िलए हकदार अित(cid:7407)र(cid:6989) त कम(cid:6981)चारी क(cid:7409) सं(cid:6990) या, जो (ग) म(cid:7286)
यथा संगिणत कम(cid:6981)चारी क(cid:7409) सं(cid:6990) या म(cid:7286) (cid:7263)ई वृि(cid:7373) से अिधक नह(cid:7277) होगी
(च) (ङ) म (cid:7286) यथा संगिणत कटौती के िलए हकदार अित(cid:7407)र(cid:6989) त कम(cid:6981)चारी को
संद(cid:7004) त या संदये उपलि(cid:7011) धयां ** #
(II) (cid:7408)कसी नए कारबार क(cid:7409) दशा म(cid:7286), कारबार के (cid:7079)थम वष(cid:6981) के दौरान िनयोिजत
अित(cid:7407)र(cid:6989) त कम(cid:6981)चा(cid:7407)रय(cid:7298) को संद(cid:7004) त या संदये उपलि(cid:7011) धयां
6. (5)( I)(च) या (5)(II) म(cid:7286) यथासंगिणत रकम का 30%
7. (cid:7407)ट(cid:7009)प िणया ं:
(cid:7407)ट(cid:7009)प ण :
1. * "अित(cid:7407)र(cid:6989) त कम(cid:6981)चारी" से ऐसा कम(cid:6981)चारी अिभ(cid:7079)ेत ह,ै िजसे पूव(cid:6981) वष(cid:6981) के दौरान िनयोिजत (cid:7408)कया गया ह ैऔर िजसके िनयोजन से िनयोजक
(cid:7367)ारा पूव(cid:6981)वत(cid:7278) वष(cid:6981) के अंितम (cid:7408)दन को िनयोिजत कम(cid:6981)चा(cid:7407)रय(cid:7298) क(cid:7409) कुल सं(cid:6990) या म(cid:7286) वृि(cid:7373) (cid:7263)ई ह,ै (cid:7412)कंतु इसम(cid:7286) िन(cid:7013) निलिखत सि(cid:7013) मिलत नह(cid:7277) ह (cid:7289):--¹Hkkx IIµ[k.M 3(i)º Hkkjr dk jkti=k % vlk/kj.k 3
(क) ऐसा कम(cid:6981)चारी, िजसक(cid:7409) कुल उपलि(cid:7011) धयां प(cid:6994) चीस हजार (cid:7271)पए (cid:7079)ित मास से अिधक ह ै; या
(ख) ऐसा कम(cid:6981)चारी, िजसके िलए संपूण(cid:6981) अिभदाय का, कम(cid:6981)चारी भिव(cid:7020) य िनिध और (cid:7079)क(cid:7409)ण(cid:6981) उपबंध अिधिनयम, 1952 (1952 का
19) के उपबंध(cid:7298) के अनुसार अिधसूिचत कम(cid:6981)चारी प(cid:7286)शन (cid:7021) क(cid:7409)म के अधीन सरकार (cid:7367)ारा संदाय (cid:7408)कया जाता ह ै; या
(ग) पूव(cid:6981) वष(cid:6981) के दौरान दो सौ चालीस (cid:7408)दन से कम क(cid:7409) अविध के िलए (प(cid:7407)रधान के िविनमाण(cid:6981) के कारबार म(cid:7286) लगे (cid:7408)कसी िनधा(cid:6981)(cid:7407)रती क(cid:7409)
दशा म(cid:7286) एक सौ पचास (cid:7408)दन) िनयोिजत कोई कम(cid:6981)चारी ; या
(घ) ऐसा कम(cid:6981)चारी, जो मा(cid:7008) यता(cid:7079)ा(cid:7009) त भिव(cid:7020) य िनिध म(cid:7286) सहभागी नह(cid:7277) ह ै;
2. ** "उपलि(cid:7011) धयां" से (cid:7408)कसी कम(cid:6981)चारी को उसके िनयोजन के बदले म(cid:7286) उसे संद(cid:7004) त या संदये कोई धनरािश, चाहे िजस नाम से (cid:6980)ात हो,
अिभ(cid:7079)ेत ह,ै (cid:7412)कंतु इसके अंतग(cid:6981)त िन(cid:7013) निलिखत सि(cid:7013) मिलत नह(cid:7277) ह (cid:7289):--
(क) िनयोजक (cid:7367)ारा त(cid:7004) समय (cid:7079)वृ(cid:7004)त (cid:7408)कसी िविध के अधीन कम(cid:6981)चारी के फायद े के िलए (cid:7408)कसी प(cid:7286)शन िनिध या भिव(cid:7020) य िनिध या (cid:7408)कसी
अ(cid:7008) य िनिध म(cid:7286) संद(cid:7004) त या संदये कोई अिभदाय ; और
(ख) (cid:7408)कसी कम(cid:6981)चारी को, उसक(cid:7409) सेवा के पय(cid:6981)वसान या अिधव(cid:7414)ष(cid:6981)ता या (cid:7021) वै(cid:6994) छया िनवृि(cid:7004) त के समय संद(cid:7004) त या संदये उपदान, पृथ(cid:6989) करण
वेतन, अवकाश नकदीकरण, (cid:7021) वै(cid:6994) छया िनवृि(cid:7004) त संबंधी फायद,े प(cid:7286)शन का संराशीकरण और वैसा ही कोई एकमु(cid:7019) त संदाय ।
3. # य(cid:7408)द उपलि(cid:7011) धय(cid:7298) का संदाय पाने वाले के खाते म(cid:7286) दये चैक या पाने वाले के खाते म(cid:7286) ब(cid:7289)क (cid:7071)ा(cid:7010)ट (cid:7367)ारा या (cid:7408)कसी ब(cid:7289)क के मा(cid:7007)य म से (cid:7408)कसी
इलै(cid:6989) (cid:7069)ािनक समाशोधन (cid:7079)णाली (cid:7367)ारा से िभ(cid:7008) न (cid:7408)कया जाता ह ैतो रकम शू(cid:7008) य होगी ।"।
[अिधसूचना सं. 26/2017 /फाइल सं. 370142/3/3017-टी.पी.एल.]
अिभषेक गौतम, अवर सिचव (कर नीित और िवधायन)
(cid:7407)ट(cid:7009)प ण : मूल िनयम भारत के राजप(cid:7074), असाधारण, भाग II, खंड 3, उपखंड (i) म(cid:7286) अिधसूचना सं(cid:6990) यांक का.आ. 969(अ), तारीख 26 माच(cid:6981),
1962 (cid:7367)ारा (cid:7079)कािशत (cid:7408)कए गए थे और उनम(cid:7286) अंितम संशोधन अिधसूचना सं(cid:6990) यांक सा.का.िन. 318(अ) तारीख 31.3.2017 (cid:7367)ारा (cid:7408)कया
गया ।
MINISTRY OF FINANCE
(Department of Revenue)
(CENTRAL BOARD OF DIRECT TAXES)
NOTIFICATION
New Delhi, the 3rd April, 2017
INCOME-TAX
G.S.R. 325(E). — In exercise of the powers conferred by clause (c) of sub-section (2) of section 80JJAA read
with section 295 of the Income-tax Act, 1961 (43 of 1961), the Central Board of Direct Taxes hereby makes the
following rules further to amend the Income-tax Rules, 1962, namely:-
1. (1) These rules may be called the Income-tax ( 6th Amendment), Rules, 2017.
(2) They shall come into force from the 1st day of April,2017.
2. In the Income-tax Rules, 1962 (hereafter referred to as the Principal rules), for the existing rule 19AB, the
following rule shall be substituted, namely:-
“19AB. Form of report for claiming deduction under section 80JJAA. Report of an accountant which is required to
be furnished by the assessee along with the return of income under clause (c) of sub-section (2) of section 80JJAA shall
be in Form No. 10DA.”
3. In the principal rules, in Appendix II, for the ‘Form No. 10DA’, the following Form shall be substituted,
namely:-
“ FORM NO. 10DA
[See rule 19AB]
Report under section 80JJAA of the Income-tax Act, 1961
1. I/ We* have examined the accounts and records of __________________ (Name and address of the assessee with
permanent account number) engaged in the business of4 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II—SEC. 3(i)]
of _________________during the year ended on 31st day of March _______________.
2. I/We* certify that the deduction to be claimed by the assessee under sub-section (1) of section 80JJAA of Income-
tax Act, 1961, in respect of the assessment year _______________ is Rs. ___________ determined on the basis of
additional employee cost incurred in the case of said business by the assessee in the previous year. The said amount has
been worked out on the basis of details given in annexure to this form.
Place:
Date: ________________ ___________
(Signature and Stamp/Seal of the Accountant)
Name of the Signatory_____________
Full Address_____________
Membership No_________________.
Notes:
1. *Delete whichever is not applicable.
2. This report is to be given by a chartered accountant within the meaning of the Chartered Accountants Act,1949
who holds a valid certificate of practice under section 6(1) of that Act and is not a person referred to in clause (a) or
clause (b) of the Explanation below sub-section (2) of section 288.
3. Where any of the matter stated in this report is answered in the negative or with a qualification, the report shall
state the reasons therefor.
ANNEXURE
(See paragraph 2 of Form No. 10DA)
1.(cid:32) Name of the assessee
2.(cid:32) Address of the assessee
3.(cid:32) Permanent Account Number of the assessee
4.(cid:32) Assessment Year
5.(cid:32) Additional employee cost incurred
(I) In case of an existing business:
(a) Number of employee as on the last day of the preceding year.
(b) Number of employee as on the last date of the previous year.
(c) Increase in the number of employee from the total number of
employee employed as on the last day of the preceding year (a)-(b).
(d) Number of additional employee* employed during the year.
(e) Number of additional employee entitled for deduction i.e. not
exceeding the number of increase in number of employee as computed
in (c).
(f) Emoluments** paid or payable to additional employee entitled for
deduction as computed in (e) #.
(II) In case of a new business, emoluments paid or payable to additional
employees employed during the first year of business.
6.(cid:32) 30% of the amount computed in 5(I)(f) or 5(II).
7.(cid:32) Remarks.
Notes:
1.* “additional employee” means an employee who has been employed during the previous year and whose employment
has the effect of increasing the total number of employees employed by the employer as on the last day of the preceding
year, but does not include,—
(a) an employee whose total emoluments are more than twenty-five thousand rupees per month; or¹Hkkx IIµ[k.M 3(i)º Hkkjr dk jkti=k % vlk/kj.k 5
(b) an employee for whom the entire contribution is paid by the Government under the Employees' Pension Scheme
notified in accordance with the provisions of the Employees' Provident Funds and Miscellaneous Provisions Act, 1952
(19 of 1952); or
(c) an employee employed for a period of less than two hundred and forty days (one hundred and fifty days in case of an
assessee engaged in the business of manufacturing of apparel) during the previous year; or
(d) an employee who does not participate in the recognised provident fund;
2.** “emoluments" means any sum paid or payable to an employee in lieu of his employment by whatever name called,
but does not include—
(a)(cid:32) any contribution paid or payable by the employer to any pension fund or provident fund or any other fund for
the benefit of the employee under any law for the time being in force; and
(b)(cid:32) any lump-sum payment paid or payable to an employee at the time of termination of his service or
superannuation or voluntary retirement, such as gratuity, severance pay, leave encashment, voluntary
retrenchment benefits, commutation of pension and the like”.
3. # the amount shall be nil if the emoluments are paid otherwise than by an account payee cheque or account payee bank
draft or by way of a electronic clearing system through a bank account.”.
[Notification No. 26/2017 /F. No. 370142/3/2017-TPL]
ABHISHEK GAUTAM, Under Secy. (Tax Policy and Legislation)
Note: The principal rules were published in the Gazette of India Extraordinary, Part II, Section 3, Sub-section (i), vide
notification number S.O. 969(E), dated the, 26th March, 1962 and were last amended vide notification number
G.S.R.No.318(E) dated the 31st March, 2017.
Uploaded by Dte. of Printing at Government of India Press, Ring Road, Mayapuri, New Delhi-110064
and Published by the Controller of Publications, Delhi-110054.