Section 9(4) in The Kerala Agricultural Income Tax Act, 1991
(4)In computing the total Agriculture income of a company engaged in plantation business, which has invested any amount in the equity of a company registered under the Companies Act, 1956 (Central Act 1 of 1956) which establishes new industrial undertakings within the state out of its Agriculture Income in the previous year, there shall be deduced a sum not exceeding fifty per cent of the amount so invested, which shall not exceed the total Agriculture income in the previous year of that Company, computed without deduction provided under this sub-section or rupees one crore whichever is less, provided-(i)such investment is not in plantation industry or agricultural activities ancillary there to which is directly a down stream industry of the produce of the plantation;(ii)the amount invested is fully utilised within the State within a period of three years from the date of investment or before the commencement of commercial production of such industrial undertaking, whichever is earlier; and(iii)there is no transfer of investment within a period of five years of such investment.Explanation. - For the purpose of this sub-section, "new industrial undertaking" means an undertaking formed to carry on the business of manufacture of goods but shall not include such industries notified by the Government, from time to time, and shall continue to be so until the expiry of a period of five years from the year in which a deduction under this sub-section is first claimed or the commencement of commercial production, whichever is earlier.
