(1) The income earned from investment, employment or business of a person at any time without counting it as normal income year, the amounts included in the calculation of income at that time or earlier will be the amount included according to the sum of successive increases.
(2) Any income earned from a person's business or investment at any time without being counted as a normal income year, the amounts that can be deducted while calculating the income at that time or earlier will be the amount that will be deducted according to the sum of successive increases.
(3) While determining the percentage of completion of the contract mentioned in sub-section (2) of section 26 of the Act at a particular time, it shall be determined as follows:-
(a) in relation to a contract relating to production, construction or installation or to a contract for the performance of related services, by comparing the amount to be deducted according to the sum of serial increments at that time with the amount to be deducted according to the sum of serial increments at the time of termination of the contract, or
(b) In cases other than clause (a), subject to that clause as prescribed by the department.
(4) According to section 95 of the Act, the provision of long-term contract made in section 26 of the Act shall not be applicable in the case of a person who does not have to file a statement of estimated tax in any income year.
(5) The provisions of long-term contracts made in section 26 of the Act shall apply to the following contracts:-
(a) Contracts related to production, construction or installation, or contracts for the performance of services related to that subject, and
(b) In cases other than Clause (a), contracts as per the time and conditions specified by the department.