Section 29 - Amendment of Section 36 of the Income-tax Act 1961 - Payment Of Bonus (Amendment) Act, 1976

29. Amendment of Section 36 of the Income-tax Act 1961. In sub-section (1) of section 36 of the Income-tax Act, 1961 (43 of 1961), in the proviso to clause (ii), for the words Provided that the amount of the bonus or commission , the words and brackets Provided further that the amount of the bonus (not being bonus referred to in the first proviso) or commission shall be substituted and before that proviso as so amended, the following proviso shall be inserted, namely :- Provided that the deduction in respect of bonus paid to an employee employed in a factory or other establishment to which the provisions of the Payment of Bonus Act, 1965 (21 of 1965) apply shall not exceed the amount of bonus payable under that Act. .