The amount deposited under Section 33AB of the Income Tax Act, 1961 can be withdrawn for the following purposes:

• For the specific purposes as per the scheme of the Tea Board, Coffee Board, or Rubber Board.
• On the death of the assessee.
• On the closure of business.
• On the partition of the Hindu Undivided Family.
• On liquidation of the company or dissolution of the firm.

The amount withdrawn for any other purpose will be deemed to be the profits and gains of the business and will be taxed accordingly.

The specific purposes for which the amount can be withdrawn are as follows under section 33 AB of. Income Tax Act:

• For replanting or rehabilitation of tea, coffee, or rubber plantations.
• For construction of factory buildings, go downs, or other buildings for the purpose of tea, coffee, or rubber plantations.
• For purchase of machinery or equipment for the purpose of tea, coffee, or rubber plantations.
• For development of scientific research in tea, coffee, or rubber plantations.
• For marketing or export promotion of tea, coffee, or rubber.
• For any other purpose approved by the Tea Board, Coffee Board, or Rubber Board.

The amount withdrawn for the specific purposes must be utilized within a period of five years from the date of withdrawal. If the amount is not utilized within the stipulated period, it will be deemed to be the profits and gains of the business and will be taxed accordingly.

It is important to note that the amount deposited under Section 33AB Income Tax Act is not a tax rebate. It is a deduction from the profits and gains of the business. This means that the amount deposited will still be taxable, but the deduction will reduce the amount of tax payable.

Example

he specific purposes for which the amount can be withdrawn are as follows:

• Tea:

• • Plantation development
  • Plant protection
  • Research and development
  • Quality improvement
  • Infrastructure development