Mr. Uday is a resident individual having patent registered on 1.7.2014 under the Patents Act, 1970. He received ₹ 5 lakhs by way of royalty from ABC Ltd. during the financial year 2018-2019. The quantum of royalty eligible for deduction would be:
A. ₹ 5 lakhs
B. ₹ 3 lakhs
C. ₹ 1 lakh
D. ₹ 2 lakhs
Answer:B
Mr. Uday is a resident individual having patent registered on 1.7.2014 under the Patents Act, 1970. He received ₹ 5 lakhs by way of royalty from ABC Ltd. during the financial year 2018-2019. The quantum of royalty eligible for deduction would be:
A. ₹ 5 lakhs B. ₹ 3 lakhs C. ₹ 1 lakh D. ₹ 2 lakhs