The CBDT vide Notification No. 6/2025 dated January 06, 2025, exempts Units of International Financial Services Centres (IFSC) from being considered as buyers under Section 206C(1H) of the Income-tax Act, 1961, for goods purchases. The buyer must submit a verified statement-cum-declaration in Form No. 1A, detailing the ten consecutive assessment years for which they claim deductions under Section 80LA. Sellers must cease tax collection upon receiving the form and report exempt transactions in their tax collection statement. This exemption applies exclusively to IFSC Units claiming Section 80LA deductions. The notification is effective from January 1, 2025.
The Complete Notification can be accessed at: https://a2ztaxcorp.net/wp-content/uploads/2025/01/CBDT_06-2025.pdf
