Section 80QQB gives an individual resident in India, being an author (including a joint author), a deduction for income derived in the exercise of his profession from a lump sum for assigning or granting his copyright in a book that is a work of literary, artistic or scientific nature, or from royalty or copyright fees for such a book.
The deduction is the whole of that income or three lakh rupees, whichever is less. Where the royalty is not a lump sum in lieu of all rights in the book, income (before expenses) in excess of fifteen per cent of the value of the books sold in the year is ignored. Income from a source outside India counts only to the extent it is brought into India in convertible foreign exchange within six months from the end of the previous year, or a further period allowed by the competent authority.
"Books" exclude brochures, commentaries, diaries, guides, journals, magazines, newspapers, pamphlets, text-books for schools, tracts and similar publications.
Operative consequences
The claim requires a certificate in the prescribed form, verified by the person who made the payment, furnished with the return (sub-section (3)); foreign income also needs a certificate from the prescribed authority (sub-section (4)).
Income allowed under this section cannot be deducted under any other provision for any assessment year (sub-section (5)).
Being a deduction under heading C of Chapter VI-A, it is allowed only if the return is furnished on or before the due date under s. 139(1) (s. 80AC).
Where total income is computed under s. 115BAC(1A), s. 115BAC(2)(i) excludes deductions under Chapter VI-A other than those under ss. 80CCD(2), 80CCH(2) and s. 80JJAA, so this deduction is not available in that case.
Status
Operative for assessment year 2026-27, with no sunset clause. The Finance Act, 2026 does not amend this section.
The 1961 Act governs assessment year 2026-27 and earlier years; the Income-tax Act, 2025 governs tax year 2026-27 onwards, and for this subject the 2025 Act provision is s. 151. Section 151 keeps the three lakh rupee cap (written as Rs 300000) and the fifteen per cent rule.
Case Laws & Commentary
SECTION 80QQB — DEDUCTION IN RESPECT OF ROYALTY INCOME, ETC., OF AUTHORS OF CERTAIN BOOKS
Case Laws & Commentary (Income-tax Act, 1961 as amended by Finance Act, 2026)
STATUTORY SCHEME (editorial summary — verbatim bare-Act text in the companion Block-1 file)
Marginal heading: Deduction in respect of royalty income, etc., of authors of certain books other than text books.
Section 80QQB allows an individual resident in India, being an author (or joint author) of a book that is a work of literary, artistic or scientific nature (other than textbooks for schools, guides, journals, newspapers and the like), a deduction in respect of income by way of lump-sum consideration for the assignment of copyright, or royalty / copyright fees, derived in the exercise of his profession, up to a maximum of Rs 3,00,000 (with the royalty, where not a lump sum, restricted to 15 per cent of the value of the books sold). Income earned from abroad must be brought into India in convertible foreign exchange within the prescribed period.
A. SECTION COMMENTARY
A.1 Structural position
Section 80QQB is the live authorship deduction for royalty and copyright income of authors of literary, artistic or scientific books (other than textbooks). It is the modern successor to section 80QQA.
A.2 Provision taxonomy
A capped (Rs 3,00,000) deduction on lump-sum copyright consideration or royalty/copyright fees, with the 15-per-cent-of-sale-value restriction for non-lump-sum royalty and a convertible-foreign-exchange repatriation condition for foreign income, conditioned on a prescribed certificate (Form 10CCD).
A.3 Core doctrinal themes
The operative questions are the qualifying character of the book (literary/artistic/scientific, not a textbook/guide/journal), the nature of the income (assignment of copyright or royalty), the Rs 3,00,000 cap and the 15-per-cent restriction, and the foreign-exchange condition. The field is documentary; reported litigation is limited.
A.4 Legislative evolution / FA amendment trail
Inserted by the Finance Act, 2003 (w.e.f. assessment year 2004-05). Not amended by the Finance Act, 2026; unavailable under the default section 115BAC regime.
A.5 CA practitioner pointers
(1) Confirm the book is of a literary/artistic/scientific nature (not a textbook, guide, journal or newspaper). (2) Apply the Rs 3,00,000 cap and, for non-lump-sum royalty, the 15-per-cent-of-sale-value restriction. (3) Repatriate foreign income in convertible foreign exchange in time and obtain Form 10CCD. (4) Unavailable under the default regime.
B. FA 2026 IMPACT NOTE
Section 80QQB is NOT amended by the Finance Act, 2026; the Rs 3,00,000 authorship deduction continues, available only under the old regime.
C. CASE LAW — CLUSTERED BY ISSUE
Cluster C-1 : Qualifying book and capped deduction
Facts: A resident author earns royalty / copyright income from a literary, artistic or scientific book and claims the deduction.
Issue: What governs eligibility and quantum.
Held: Eligibility turns on the qualifying character of the book and income; the deduction is capped at Rs 3,00,000 (with the 15-per-cent restriction for non-lump-sum royalty) and conditioned on the foreign-exchange repatriation and the Form 10CCD certificate.
Ratio: A capped, documentary authorship deduction governed by its statutory conditions.
Relevance: States the operative framework; reported litigation is limited and the statute governs.
Editorial note on sourcing
Editorial scheme summary prepared from the Income-tax Act, 1961 as amended by the Finance Act, 2025, read with the Finance Act, 2026; verbatim bare-Act text is carried in the companion Block-1 treatise file. Digested authorities are reported Supreme Court / High Court decisions verified against standard law reports (ITR/Taxman/CTR). For spent or lightly-litigated provisions, the scarcity is stated candidly and the governing statutory material is given.
Function in the statutory architecture
Section 80QQB gives an individual resident in India, being an author (including a joint author), a deduction for income derived in the exercise of his profession from a lump sum for assigning or granting his copyright in a book that is a work of literary, artistic or scientific nature, or from royalty or copyright fees for such a book.
The deduction is the whole of that income or three lakh rupees, whichever is less. Where the royalty is not a lump sum in lieu of all rights in the book, income (before expenses) in excess of fifteen per cent of the value of the books sold in the year is ignored. Income from a source outside India counts only to the extent it is brought into India in convertible foreign exchange within six months from the end of the previous year, or a further period allowed by the competent authority.
"Books" exclude brochures, commentaries, diaries, guides, journals, magazines, newspapers, pamphlets, text-books for schools, tracts and similar publications.
Operative consequences
Status
Operative for assessment year 2026-27, with no sunset clause. The Finance Act, 2026 does not amend this section.
The 1961 Act governs assessment year 2026-27 and earlier years; the Income-tax Act, 2025 governs tax year 2026-27 onwards, and for this subject the 2025 Act provision is s. 151. Section 151 keeps the three lakh rupee cap (written as Rs 300000) and the fifteen per cent rule.
Case Laws & Commentary
SECTION 80QQB — DEDUCTION IN RESPECT OF ROYALTY INCOME, ETC., OF AUTHORS OF CERTAIN BOOKS
Case Laws & Commentary (Income-tax Act, 1961 as amended by Finance Act, 2026)
STATUTORY SCHEME (editorial summary — verbatim bare-Act text in the companion Block-1 file)
Marginal heading: Deduction in respect of royalty income, etc., of authors of certain books other than text books.
Section 80QQB allows an individual resident in India, being an author (or joint author) of a book that is a work of literary, artistic or scientific nature (other than textbooks for schools, guides, journals, newspapers and the like), a deduction in respect of income by way of lump-sum consideration for the assignment of copyright, or royalty / copyright fees, derived in the exercise of his profession, up to a maximum of Rs 3,00,000 (with the royalty, where not a lump sum, restricted to 15 per cent of the value of the books sold). Income earned from abroad must be brought into India in convertible foreign exchange within the prescribed period.
A. SECTION COMMENTARY
A.1 Structural position
Section 80QQB is the live authorship deduction for royalty and copyright income of authors of literary, artistic or scientific books (other than textbooks). It is the modern successor to section 80QQA.
A.2 Provision taxonomy
A capped (Rs 3,00,000) deduction on lump-sum copyright consideration or royalty/copyright fees, with the 15-per-cent-of-sale-value restriction for non-lump-sum royalty and a convertible-foreign-exchange repatriation condition for foreign income, conditioned on a prescribed certificate (Form 10CCD).
A.3 Core doctrinal themes
The operative questions are the qualifying character of the book (literary/artistic/scientific, not a textbook/guide/journal), the nature of the income (assignment of copyright or royalty), the Rs 3,00,000 cap and the 15-per-cent restriction, and the foreign-exchange condition. The field is documentary; reported litigation is limited.
A.4 Legislative evolution / FA amendment trail
Inserted by the Finance Act, 2003 (w.e.f. assessment year 2004-05). Not amended by the Finance Act, 2026; unavailable under the default section 115BAC regime.
A.5 CA practitioner pointers
(1) Confirm the book is of a literary/artistic/scientific nature (not a textbook, guide, journal or newspaper). (2) Apply the Rs 3,00,000 cap and, for non-lump-sum royalty, the 15-per-cent-of-sale-value restriction. (3) Repatriate foreign income in convertible foreign exchange in time and obtain Form 10CCD. (4) Unavailable under the default regime.
B. FA 2026 IMPACT NOTE
Section 80QQB is NOT amended by the Finance Act, 2026; the Rs 3,00,000 authorship deduction continues, available only under the old regime.
C. CASE LAW — CLUSTERED BY ISSUE
Cluster C-1 : Qualifying book and capped deduction
Statutory scheme of section 80QQB
Facts: A resident author earns royalty / copyright income from a literary, artistic or scientific book and claims the deduction.
Issue: What governs eligibility and quantum.
Held: Eligibility turns on the qualifying character of the book and income; the deduction is capped at Rs 3,00,000 (with the 15-per-cent restriction for non-lump-sum royalty) and conditioned on the foreign-exchange repatriation and the Form 10CCD certificate.
Ratio: A capped, documentary authorship deduction governed by its statutory conditions.
Relevance: States the operative framework; reported litigation is limited and the statute governs.
Editorial note on sourcing
Editorial scheme summary prepared from the Income-tax Act, 1961 as amended by the Finance Act, 2025, read with the Finance Act, 2026; verbatim bare-Act text is carried in the companion Block-1 treatise file. Digested authorities are reported Supreme Court / High Court decisions verified against standard law reports (ITR/Taxman/CTR). For spent or lightly-litigated provisions, the scarcity is stated candidly and the governing statutory material is given.