It is for income by way of royalties and technical service fees
Agreement should have been made before April 1, 1976
approval from CG
Income should be from transfer outside India of or imparting of information outside India in respect of any data, documentation, drawing or specification relating to any patent, invention, model, design, secret formula or process or trade mark.
Amount of deduction
Actual expenses incurred
20% of the gross amount of royalty received
Whichever is less
Reduced by the lump sum consideration for the transfer.