Section 80J(4)(iv) in The Income- Tax Act, 1995

Central Government Act

(iv) in a case where the industrial undertaking manufactures or produces articles, the undertaking employs ten or more workers in a manufacturing process carried on with the aid of power, or employs twenty or more workers in a manufacturing process carried on without the aid of power: Provided that the condition in clause (i) shall not apply in respect of any industrial undertaking which is formed as a result of the reestablishment, reconstruction or revival by the assessee of the business of any such industrial undertaking as is referred to in section 33B, in the circumstances and within the period specified in that section: 2[ Provided further that, where any building or any part thereof previously used for any purpose is transferred to the business of the industrial undertaking, the value of the building or part so transferred shall not be taken into account in computing the capital employed in the industrial undertaking:] 3[ Provided also that in the case of an industrial undertaking which manufactures or produces any article specified in the list in the Eleventh Schedule, the provisions of clause (iii) shall have effect as if for the words" thirty- three years", the words" thirty- one years" had been substituted.] 4[ Explanation 1-For the purposes of clause (ii) of this sub- section, any machinery or plant which was used outside India by any per- son other than the assessee shall not be regarded as machinery or plant previously used for any purpose, if the following conditions are fulfilled, namely:-,

(a) such machinery or plant was not, at any time, previous to the date of the installation by the assessee, used in India;

(b) such machinery or plant is imported into India from any country outside India; and

(c) no deduction on account of depreciation in respect of such machinery or plant has been allowed or is allowable under the provisions of the Indian Income- tax Act, 1922 (11 of 1922 ), or this Act in computing the total income of any person for any period prior to the date of the installation of the machinery or plant by the assessee. Explanation 2.- Where in the case of an industrial undertaking, any machinery or plant or any part thereof previously used for any purpose is transferred to a new business and the total value of the machinery or plant

1. Substituted for" twenty- eight" by the Finance Act, 1975, w. e. f. 1- 4- 1975 which was earlier substituted for" twenty- three" by the Finance Act, 1969, w. e. f 14- 1969.

2. Inserted by the Finance Act, 1975, w. e. f. 1- 4- 1976.

3. Inserted by the Finance Act, 1979, w. e. f. 1- 4- 1979.

4. Inserted by the Finance Act, 1975 ,, w. e. f. 1- 4- 1976.

or part so transferred does not exceed twenty per cent of the total value of the machinery or plant used in the business, then, for the purposes of clause (ii) of this sub- section, the condition specified therein shall be deemed to have been complied with and the total value of machinery or plant or part so transferred shall not be taken into account in computing the capital employed in the industrial undertaking.]