Section 35B once provided the export markets development allowance. The section has been omitted. Only the bracketed note stands in the Act, and it gives no operative text.
Operative consequences
No deduction can be claimed under this section for any assessment year after the omission took effect.
The section has no successor in the 1961 Act text or in the Income-tax Act, 2025.
Status
The section is not operative for AY 2026-27. The Act reads: “[Omitted by the Direct Tax Laws (Amendment) Act, 1987, as amended by the Direct Tax Laws (Amendment) Act, 1989, w.e.f. 1-4-1989. Original section 35B was inserted by the Finance Act, 1968, w.e.f. 1-4-1968.]” The Finance Act, 2026 does not amend this section.
The 1961 Act governs AY 2026-27 and earlier assessment years; the Income-tax Act, 2025 governs tax year 2026-27 onwards. For this subject there is no provision in the Income-tax Act, 2025.
Function in the statutory architecture
Section 35B once provided the export markets development allowance. The section has been omitted. Only the bracketed note stands in the Act, and it gives no operative text.
Operative consequences
Status
The section is not operative for AY 2026-27. The Act reads: “[Omitted by the Direct Tax Laws (Amendment) Act, 1987, as amended by the Direct Tax Laws (Amendment) Act, 1989, w.e.f. 1-4-1989. Original section 35B was inserted by the Finance Act, 1968, w.e.f. 1-4-1968.]” The Finance Act, 2026 does not amend this section.
The 1961 Act governs AY 2026-27 and earlier assessment years; the Income-tax Act, 2025 governs tax year 2026-27 onwards. For this subject there is no provision in the Income-tax Act, 2025.