Under section 47 of the Income-tax Act, 2025, where a company incurs any expenditure (excluding the…

Under section 47(1)(b) of the Income-tax Act, 2025, any expenditure (excluding the cost of any land or building) incurred by a company on a skill development project notified by the Board as per its guidelines is allowed as a deduction in the tax year in which the expenditure is incurred, i.e. the deduction is 100% of such expenditure (formerly s.35CCD of the Income-tax Act, 1961, under which the earlier weighted deduction of 150% had been reduced to 100% from AY 2021-22). Under section 47(2), once this deduction is allowed, the same expenditure cannot be deducted again under any other provision.

No weighted deduction of 125%, 150% or 200% is available for such expenditure under the 2025 Act, so the other options are wrong.