FROM NO. 3CK
Application form for entering into an agreement with the Department of Scientific
and Industrial Research for cooperation in in-house Research and
Development facility and for audit of the accounts
maintained for that facility
PARTA
1. Name and Address of the registered office of the company
including Telex/Fax/Phone numbers.
2. Permanent Account Number (PAN) of the company.
3. Please specify the nature and Business/activity of the com-
pany—
Manufacture/production of-
Drugs
Pharmaceuticals
Electronic Equipments
Computers
Telecommunication Equipments
Chemicals
Any other article or thing notified under sub-section
(2AB) of section 35 (Please specify)
4. Annual production of the eligible products of the company
during the past three years.
5. Annual expenditure on scientific research of the company
during the past three years, giving break-up of expenditure
on land and buildings.
6. Please give details of the nature of existing in-house Re-
search and Development facilities including the address of
the in-house Research and Development facility.
7. Registration number, date and validity of recognition granted
by Department of Scientific and Industrial Research to the
in-house Research and Development centre of the company.
8. Proposed objectives of scientific research contemplated by
the company.
PART B
AGREEMENT
Whereas, …………………. (hereinafter referred to as First Party) and the Department of Scientific and Indus-
trial Research (hereinafter referred to as Second Party), have decided to enter into an agreement, that—
(i) the First Party shall maintain an in-house Research and Development facility to be approved by
the Second Party.
(ii) the above Research and Development facility shall be exclusively used by the First Party to carry
out scientific research relating to manufacture or production of any drugs, pharmaceuticals, elec-
tronic equipments, computers, telecommunication equipments, chemicals or any other article or
thing notified by the Central Board of Direct Taxes, under sub-section (2AB) of section 35,
(iii) the First Party shall provide full co-operation to the Second Party in carrying out the Research
and Development work relating to manufacture or production of any drugs, pharmaceuticals,
electronic equipments, computers, telecommunication equipments, chemicals or any other ar-
ticle or thing notified by the Central Board of Direct Taxes. under sub-section (2AB) of section
35,
(iv) the First Party shall maintain separate accounts for both revenue and capital expenditure on scien-
tific research including that on in-house Research and Development facility, which shall be annu-
ally audited by an accountant as defined in section 288(2) of the Income-tax Act, 1961, and a
copy of which has to be attached with the return of income under sub-section(l) of section 139 to
claim deduction under section 35(2AB),
(v) subject to the First Party meeting the conditions specified under sub-section (2AB) of section 35,
and on being satisfied of the feasibility of the said in-house Research and Development facility in
terms of its objectives and of the genuineness of the expenditure on said Research and Develop-
ment facility by the First Party, the Second Party shall submit its report in relation to the approval
of the said facility to the Director General of Income-tax (Exemptions) within a period of sixty
days from the date on which the First Party makes application in the Form No. 3CK.
Agreed on the………………………day of……………………..month of……….year.
First Party
……………………
Signature of the Principal Officer of the company
(Name, Designation and address)
Place…………………………
Date………………………….
Witness
……………………………
Signature
(Name and address)
Place…………………………
Date………………………….
Second Party
…………………………….
Signature of/on behalf of the Secretary, Department of Scientific & Industrial Research
Place…………………………
Date………………………….
Witness
…………………………
Signature
(Name and address)
Place…………………………
Date………………………….
PART C
Certified that the above information is true to the best of our knowledge and belief.
We undertake to:
(i) maintain separate accounts for both revenue and capital expenditure on scientific research in-
cluding that on in-house Research and Development facility, which shall be annually audited by
an accountant as defined in sub-section (2) of section 288 of the Income-tax Act, 1961, and a
copy of which has to be attached with the return of income under sub-section (1) of section 139 to
claim deduction under sub-section (2AB) of section 35;
(ii) submit annual progress reports to the Secretary, Department of Scientific and Industrial Research;
(iii) render full co-operation in carrying out the Research and Development work relating to manufac-
ture or production of any drugs, pharmaceuticals, electronic equipments, computers, telecommu-
nication equipments, chemicals or any other article or thing notified by the Central Board of
Direct Taxes, under sub-section (2AB) of section 35; and
(iv) assets acquired by the approved facility will be utilised only for the approved purpose and shall
not be disposed off without the approval of the Secretary, Department of Scientific and Industrial
Research.
……………………………………..
……………………………………..
……………………………………..
……………………………………..
Signature of the Principal Officer of the company
(Name, Designation and address)
Place…………………………
Date………………………….
Notes :
1. Six sets of duly filled applications are to be submitted to the Secretary, Department of Scientific &
Industrial Research.
2. Copy of the latest Annual Report along with Balance Sheet has to be enclosed.
3. Enclose a copy of DSIR recognition of the in-house (R&D) centre.