For Certain Infrastructure business,Earlier Section 80IA Deduction were applicable,but now Section 35AD is applicable

Earlier 80IA

Now 35AD

Business Profit was computed and Included in PGBP Income

Later Deduction available under 80IA

Now, Business Profit reduced by taking deduction under 35AD

No Deduction available under 35AD



List of Such Business

Business of



maintaining and operating


developing, maintaining and operating

a new infrastructure facility  




Meaning of Infrastructure Facility

  1. Road including   toll   road,   a bridge or a rail system.
  2. A highway project (including housing or other activities being an integral part of the highway project.)
  3. water supply project (A water supply project, water treatment system, irrigation project, sanitation and sewerage system or solid waste management system)
  4. Port (A port, airport, inland waterway, inland port or navigational channel in the sea )


Conditions to be Fuilfilled

1. Business should be commenced on or afterr 1/4/2017

2 The business should be   owned by a company registered in India or by a consortium of such companies or by an authority or a board or corporation or any other body established or constituted under any Central or State Act.(not a partnership/proprietorship or not foreign co)


it should have entered into an agreement with the Central Government or a State Government or a local authority or any other statutory body for developing or operating and maintaining or developing, operating and maintaining, a new infrastructure facility

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CA Maninder Singh

CA Maninder Singh is a Chartered Accountant for the past 13 years. He also provides Accounts Tax GST Training in Delhi, Kerala and online.