State Bank of India Subsidiary Banks Act, 1959 Section 48 - Bare Act

(1) A subsidiary bank may accept any subsidies offered by the State Bank to meet--

(a) the cost of the whole or any part of any specific programme of development undertaken by that subsidiary bank with the approval of the State Bank; and

(b) such losses or expenditure as may be approved by the State Bank, with the consent of the Reserve Bank.

(2) For the purposes of the ¹[Income tax-Act, 1961], any subsidy received by a subsidiary bank under sub-section (1) shall not be treated us income, profits or gains of the subsidiary bank.

________________________________

1. Substituted by the State Bank of India (Subsidiary Banks Laws) Amendment Act, 2007 (Act No. 30 of 2007) for the words and figures "Indian Income-tax Act, 1922"