R&D / agricultural extension / skill development (range 29–40)

Eligibility (sub-rule 1). The project is undertaken by an assessee for training, education and guidance of farmers; has prior approval of the Ministry of Agriculture and Farmers Welfare; and is expected to cost more than Rs. 25,00,000, excluding the cost of any land or building.

Application (sub-rules 2 and 3). Before undertaking the project, the assessee applies in Form No. 20 to the Member (IT), CBDT, with the Ministry's approval letter stating the expected expenditure, a detailed note on the project, and details of expected expenditure and completion date.

Timetable (sub-rules 4 to 7). The Board intimates a defect before one month from the end of the month of receipt; the applicant removes it within one month from the end of the month the intimation is served; if not, the Board passes an order treating the application as invalid within one further month. A complete application is notified in Form No. 21 within two months from the end of the quarter of receipt, subject to the conditions in rule 38 or others the Board thinks fit, for a period not exceeding three tax years.

Renewal and revocation (sub-rules 8 to 11). The assessee may apply for a further period at least three months before expiry; the Board calls for a report from the jurisdictional Commissioner and may notify for a further period not exceeding three tax years within two months from the end of the quarter of the new application. The Board may revoke the notification, after a reasonable opportunity of being heard, if the assessee has ceased its activities, they are not genuine, or they do not comply with this rule, rule 38 or the notification conditions.

Communication (sub-rule 12). A copy of the notification, approval, rejection or cancellation goes to the applicant, the Ministry of Agriculture and Farmers Welfare, the jurisdictional Commissioner, the State Department of Agriculture, and the district's Agricultural Technology Management Agency.