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Case lawNotifications2015 › Notification No.263/2015 [F.No.V.27015/3/2015-SO(NAT.COM)] / SO 3073(E)
Notification 10 November 2015

Notification No.263/2015 [F.No.V.27015/3/2015-SO(NAT.COM)] / SO 3073(E)

Section 35AC of the Income-tax Act, 1961 - Eligible Projects or Schemes, Expenditure on - Notified Eligible Projects or Schemes

What this is

Notification No.263/2015 [F.No.V.27015/3/2015-SO(NAT.COM)] / SO 3073(E) was published on 10 November 2015. Its subject is Section 35AC of the Income-tax Act, 1961 - Eligible Projects or Schemes, Expenditure on - Notified Eligible Projects or Schemes.

What it does

Acting under sub-section (1) read with clause (b) of the Explanation to section 35AC of the Income-tax Act, 1961, the Central Government amends its notification S.O. 1860(E) dated 11 August 2011. In the Table to that notification, against serial number 3, in column (4) - the maximum amount of cost to be allowed as deduction under section 35AC - the figure "Rs. 14.72 crore including Rs. 2.00 crore as a corpus fund" is substituted by "Rs. 40.84 crore including Rs. 2 crore as a corpus fund". The project is the extension project for expansion and maintenance of present activities in vocational courses and the girls hostel vocational training course carried out by Jamia Islamia Ishaatul Uloom, Akalkuwa, District Nandurbar, Maharashtra. Only the approved cost is altered; the period already extended up to financial year 2016-17 is untouched.

Why it was issued

The project cost was likely to rise from Rs. 14.72 crore to Rs. 40.84 crore, and the National Committee for Promotion of Social and Economic Welfare, satisfied that the project was being executed properly, recommended the amendment under sub-rule (5) of rule 11M of the Income-tax Rules, 1962.

Who it reaches

The provisions it speaks to

Left, the provision of the Income-tax Act, 1961 as the instrument itself names it. Right, the section of the Income-tax Act, 2025 that the department’s own concordance maps it to — which is where the same ground is now covered.
Under the 1961 ActNow
s.35ACno counterpart recorded

The instrument, as the Board published it

The words below are the department’s own, reproduced from its published text. Where the department’s copy carried a publisher’s notes after the instrument, those are not reproduced.

SECTION 35AC OF THE INCOME-TAX ACT, 1961 - ELIGIBLE PROJECTS OR SCHEMES, EXPENDITURE ON - NOTIFIED ELIGIBLE PROJECTS OR SCHEMES
NOTIFICATION NO. SO 3073(E) [NO.263/2015 (F.NO.V.27015/3/2015-SO (NAT.COM))], DATED 10-11-2015
Whereas by notification of the Government of India in the Ministry of Finance (Department of Revenue) number S.O No.1860 (E) dated 11.08.2011 issued under clause (b) of the Explanation to section 35AC of the Income-tax Act, 1961 (43 of 1961), the Central Government had notified at serial number 3, "Extension project for the expansion and maintenance of present activities in vocational courses and girls hostel vocational training course" by "Jamia Islamia Ishaatul Uloom, Amlibari Molgi Road, A/P Akalkuwa, District Nandurbar, Maharashtra 425 415", as an eligible project or scheme, at the estimated cost of Rs. 14.72 crore including Rs. 2 crore as a corpus fund for a period of three years ending with financial year 2013-14 and which was extended further vide notification number S.O. 1474(E) dated the 4.6.2015 for a period of three years ending with financial year 2016-17;
And whereas the project cost is likely to enhance from Rs. 14.72 crore including Rs. 2.00 crore as a corpus fund to Rs. 40.84 crore including Rs. 2 crore as a corpus fund;
And whereas the National Committee for Promotion of Social and Economic Welfare, being satisfied that the said project or scheme is being executed properly, made a further recommendation under sub-rule (5) of rule 11M of the Income-tax Rules, 1962 for amending the project cost from Rs. 14.72 crore including Rs. 2.00 crore as a corpus fund to Rs. 40.84 crore including Rs. 2 crore as a corpus fund;
Now, therefore, the Central Government, in exercise of the powers conferred by sub-section (1) read with clause (b) of the Explanation to Section 35AC of the Income-tax Act, 1961 (43 of 1961), hereby notifies the scheme or project "Extension project for the expansion and maintenance of present activities in vocational courses and girls hostel vocational training course", which is being carried out by "Jamia Islamia Ishaatul Uloom, Amlibari Molgi Road, A/P Akalkuwa, District Nandurbar, Maharashtra 425 415", further amends the said notification number S.O. 1860 (E) dated 11.08.2011, to the following effect, namely:—
In the said notification, in the Table against serial number 3, in column (4), relating to maximum amount of cost to be allowed as deduction under section of 35AC of Income Tax Act, 1961 for the letters, figures and word "Rs. 14.72 crore including Rs. 2.00 crore as a corpus fund" the letters, figures and word "Rs. 40.84 crore including Rs. 2 crore as a corpus fund" shall be substituted.
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What it changes

The rule numbers are the 1962 Rules’ own, as the notification names them. The right-hand column is the department’s own mapping into the Income-tax Rules, 2026, which renumbered nearly everything.
Rule of the 1962 RulesNow, in the 2026 Rules
Rule 11Mno counterpart recorded

What to watch

Where you meet it

In a donor's return of income claiming deduction under section 35AC, and in the certificate issued by the institution for the year of payment.

An example

Ours, not the Board’s: a worked case built from the rule the instrument sets, to show how it falls out.

A donor who paid Rs. 5 crore to the project in financial year 2015-16 could earlier be met with the objection that the notified ceiling of Rs. 14.72 crore was already exhausted by other donors; after this substitution the ceiling for the project is Rs. 40.84 crore, and the claim is tested against that higher figure.

What it names

Rules it names. Rule 11M of the Income-tax Rules, 1962. The 1962 Rules were replaced by the Income-tax Rules, 2026, which renumbered nearly everything: a rule number quoted here almost never means the same rule today.

On the same provision

Other instruments in this library that name the same provision of the 1961 Act. They are not necessarily still operative, and a later one may have replaced an earlier one without saying so.

← Notification No.264/2015 [F.No.V.27015/3/2015-SO(NAT.COM)] / SO 3074(E)  ·  Notification No.262/2015 [F.No.V.27015/3/2015-SO(NAT.COM)] / SO 3072(E) →

What a notification is. A notification is made under a power the Act itself gives, and within that power it is law — unlike a circular, which only binds the department. Its reach is the reach of the enabling provision and no wider, and the date it carries decides from when it works.

Source: the Income Tax Department’s own published text — its page for this instrument.