Finance Act 2023

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EXTRAORDINARY
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PART II — Section 1
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PUBLISHED BY AUTHORITY
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No. 8] NEW DELHI, FRIDAY, MARCH 31, 2023/CHAITRA 10, 1945 (SAKA)
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Separate paging is given to this Part in order that it may be filed as a separate compilation.
MINISTRY OF LAW AND JUSTICE

(Legislative Department)
New Delhi, the 31st March, 2023 / Chaitra 10, 1945 (Saka)
The following Act of Parliament received the assent of the President on the
31st March, 2023 and is hereby published for general information:—
THE FINANCE ACT, 2023
No. 8 OF 2023
[31st March, 2023.]
An Act to give effect to the financial proposals of the Central Government
for the financial year 2023-2024.
BE it enacted by Parliament in the Seventy-fourth Year of the Republic of India as
follows:—
CHAPTER I
PRELIMINARY
1. (1) This Act may be called the Finance Act, 2023. Short title and
commencement.
(2) Save as otherwise provided in this Act,—
(a) sections 2 to 127 shall come into force on the 1st day of April, 2023;
(b) sections 128 to 163 shall come into force on such date as the Central
Government may, by notification in the Official Gazette, appoint.
CHAPTER II
RATES OF INCOME-TAX
2. (1) Subject to the provisions of sub-sections (2) and (3), for the assessment year Income-tax.
commencing on the 1st day of April, 2023, income-tax shall be charged at the rates specified
in Part I of the First Schedule and such tax shall be increased by a surcharge, for the
purposes of the Union, calculated in each case in the manner provided therein.
2 THE GAZETTE OF INDIA EXTRAORDINARY [PART II—
(2) In the cases to which Paragraph A of Part I of the First Schedule applies, where
the assessee has, in the previous year, any net agricultural income exceeding five thousand
rupees, in addition to total income, and the total income exceeds two lakh fifty thousand
rupees, then,—
(a) the net agricultural income shall be taken into account, in the manner
provided in clause (b) (that is to say, as if the net agricultural income were comprised
in the total income after the first two lakh fifty thousand rupees of the total income but
without being liable to tax), only for the purpose of charging income-tax in respect of
the total income; and
(b) the income-tax chargeable shall be computed as follows:—
(i) the total income and the net agricultural income shall be aggregated
and the amount of income-tax shall be determined in respect of the aggregate
income at the rates specified in the said Paragraph A, as if such aggregate
income were the total income;
(ii) the net agricultural income shall be increased by a sum of two lakh
fifty thousand rupees, and the amount of income-tax shall be determined in
respect of the net agricultural income as so increased at the rates specified in
the said Paragraph A, as if the net agricultural income as so increased were the
total income;
(iii) the amount of income-tax determined in accordance with sub-clause (i)

shall be reduced by the amount of income-tax determined in accordance with
sub-clause (ii) and the sum so arrived at shall be the income-tax in respect of
the total income:
Provided that in the case of every individual, being a resident in India, who is of the
age of sixty years or more but less than eighty years at any time during the previous year,
referred to in item (II) of Paragraph A of Part I of the First Schedule, the provisions of this
sub-section shall have effect as if for the words "two lakh fifty thousand rupees", the words
"three lakh rupees" had been substituted:
Provided further that in the case of every individual, being a resident in India, who is
of the age of eighty years or more at any time during the previous year, referred to in
item (III) of Paragraph A of Part I of the First Schedule, the provisions of this sub-section
shall have effect as if for the words "two lakh fifty thousand rupees", the words "five lakh
rupees" had been substituted.
(3) In cases to which the provisions of Chapter XII or Chapter XII-A or section 115JB
or section 115JC or Chapter XII-FA or Chapter XII-FB or sub-section (1A) of section 161 or
section 164 or section 164A or section 167B of the Income-tax Act, 1961 (hereinafter referred 43 of 1961.
to as the Income-tax Act) apply, the tax chargeable shall be determined as provided in that
Chapter or that section, and with reference to the rates imposed by sub-section (1) or the
rates as specified in that Chapter or section, as the case may be:
Provided that the amount of income-tax computed in accordance with the provisions
of section 111A or section 112 or section 112A of the Income-tax Act shall be increased by
a surcharge, for the purposes of the Union, as provided in Paragraph A, B, C, D or E, as the
case may be, of Part I of the First Schedule, except in case of a domestic company whose
income is chargeable to tax under section 115BAA or section 115BAB of the Income-tax Act
or in case of co-operative society whose income is chargeable to tax under section 115BAD
of the Income-tax Act:
Provided further that in respect of any income chargeable to tax under section 115A,
115AB, 115AC, 115ACA, 115AD, 115B, 115BA, 115BB, 115BBA, 115BBC, 115BBF, 115BBG,
115BBH, 115BBI, 115E, 115JB or 115JC of the Income-tax Act, the amount of income-tax
SEC. 1] THE GAZETTE OF INDIA EXTRAORDINARY 3
computed under this sub-section shall be increased by a surcharge, for the purposes of the
Union, calculated,—
(a) in the case of every individual or Hindu undivided family or association of
persons except in a case of an association of persons consisting of only companies
as its members, or body of individuals, whether incorporated or not, or every artificial
juridical person referred to in sub-clause (vii) of clause (31) of section 2 of the
Income-tax Act, not having any income under section 115AD of the Income-tax Act,—
(i) having a total income exceeding fifty lakh rupees but not exceeding
one crore rupees, at the rate of ten per cent. of such income-tax;
(ii) having a total income exceeding one crore rupees, but not exceeding
two crore rupees, at the rate of fifteen per cent. of such income-tax;
(iii) having a total income exceeding two crore rupees, but not exceeding
five crore rupees, at the rate of twenty-five per cent. of such income-tax; and
(iv) having a total income exceeding five crore rupees, at the rate of
thirty-seven per cent. of such income-tax;
(b) in the case of every individual or association of persons, except in a case of
an association of persons consisting of only companies as its members or body of
individuals, whether incorporated or not, or every artificial juridical person referred to
in sub-clause (vii) of clause (31) of section 2 of the Income-tax Act, having income
under section 115AD of the Income-tax Act,—
(i) having a total income exceeding fifty lakh rupees but not exceeding
one crore rupees, at the rate of ten per cent. of such income-tax;
(ii) having a total income exceeding one crore rupees, but not exceeding
two crore rupees, at the rate of fifteen per cent. of such income-tax;
(iii) having a total income [excluding the income by way of dividend or
income of the nature referred to in clause (b) of sub-section (1) of section 115AD
of the Income-tax Act] exceeding two crore rupees but not exceeding five crore
rupees, at the rate of twenty-five per cent. of such income-tax;
(iv) having a total income [excluding the income by way of dividend or
of the Income-tax Act] exceeding five crore rupees, at the rate of thirty-seven
per cent. of such income-tax; and
(v) having a total income [including the income by way of dividend or
of the Income-tax Act] exceeding two crore rupees, but is not covered in
sub-clauses (iii) and (iv), at the rate of fifteen per cent. of such income-tax:
Provided that in case where the total income includes any income by way
of dividend or income chargeable under clause (b) of sub-section (1) of
section 115AD of the Income-tax Act, the rate of surcharge on the income-tax
calculated on that part of income shall not exceed fifteen per cent.;
(c) in the case of an association of persons consisting of only companies as its
members,—
(i) at the rate of ten per cent. of such income-tax, where the total income
exceeds fifty lakh rupees but does not exceed one crore rupees;
(ii) at the rate of fifteen per cent. of such income-tax, where the total
income exceeds one crore rupees;
(d) in the case of every co-operative society except a co-operative society
whose income is chargeable to tax under section 115BAD of the Income-tax Act,—
(i) at the rate of seven per cent. of such income-tax, where the total
income exceeds one crore rupees but does not exceed ten crore rupees;
(ii) at the rate of twelve per cent. of such income-tax, where the total
income exceeds ten crore rupees;
(e) in the case of every firm or local authority, at the rate of twelve per cent. of
such income-tax, where the total income exceeds one crore rupees;
(f) in the case of every domestic company except such domestic company
whose income is chargeable to tax under section 115BAA or section 115BAB of the
Income-tax Act,—
(i) at the rate of seven per cent. of such income-tax, where the total
(ii) at the rate of twelve per cent. of such income-tax, where the total
(g) in the case of every company, other than a domestic company,—
(i) at the rate of two per cent. of such income-tax, where the total income
exceeds one crore rupees but does not exceed ten crore rupees;
(ii) at the rate of five per cent. of such income-tax, where the total income
exceeds ten crore rupees:
Provided also that in the case of persons mentioned in (a) and (b) above, having total
income chargeable to tax under section 115JC of the Income-tax Act, and such income
exceeds,—
(i) fifty lakh rupees but does not exceed one crore rupees, the total amount
payable as income-tax and surcharge thereon shall not exceed the total amount payable
as income-tax on a total income of fifty lakh rupees by more than the amount of
income that exceeds fifty lakh rupees;
(ii) one crore rupees but does not exceed two crore rupees, the total amount
as income-tax and surcharge on a total income of one crore rupees by more than the
amount of income that exceeds one crore rupees;
(iii) two crore rupees but does not exceed five crore rupees, the total amount
as income-tax and surcharge on a total income of two crore rupees by more than the
amount of income that exceeds two crore rupees;
(iv) five crore rupees, the total amount payable as income-tax and surcharge
thereon shall not exceed the total amount payable as income-tax and surcharge on a
total income of five crore rupees by more than the amount of income that exceeds five
crore rupees:
Provided also that in the case of association of persons mentioned in (c) above,
having total income chargeable to tax under section 115JC of the Income-tax Act exceeds,—
(i) fifty lakh rupees but does not exceed one crore rupees, the total amount
as income-tax on a total income of fifty lakh rupees by more than the amount of
income that exceeds fifty lakh rupees;
(ii) one crore rupees, the total amount payable as income-tax and surcharge
total income of one crore rupees by more than the amount of income that exceeds one
crore rupees:
Provided also that in the case of a co-operative society mentioned in (d) above,
having total income chargeable to tax under section 115JC of the Income-tax Act, and such
income exceeds,—
(i) one crore rupees but does not exceed ten crore rupees, the total amount
as income-tax on a total income of one crore rupees by more than the amount of
income that exceeds one crore rupees;
(ii) ten crore rupees, the total amount payable as income-tax and surcharge
total income of ten crore rupees by more than the amount of income that exceeds ten
crore rupees:
Provided also that in the case of persons mentioned in (e) above, having total income
chargeable to tax under section 115JC of the Income-tax Act, and such income exceeds one
crore rupees, the total amount payable as income-tax on such income and surcharge thereon
shall not exceed the total amount payable as income-tax on a total income of one crore
rupees by more than the amount of income that exceeds one crore rupees:
Provided also that in the case of every company having total income chargeable to tax
under section 115JB of the Income-tax Act, and such income exceeds one crore rupees but
does not exceed ten crore rupees, the total amount payable as income-tax on such income
and surcharge thereon, shall not exceed the total amount payable as income-tax on a total
income of one crore rupees by more than the amount of income that exceeds one crore
rupees:
under section 115JB of the Income-tax Act, and such income exceeds ten crore rupees, the
total amount payable as income-tax on such income and surcharge thereon, shall not exceed
the total amount payable as income-tax and surcharge on a total income of ten crore rupees
by more than the amount of income that exceeds ten crore rupees:
Provided also that in respect of any income chargeable to tax under clause (i) of
sub-section (1) of section 115BBE of the Income-tax Act, the amount of income-tax computed
under this sub-section shall be increased by a surcharge, for the purposes of the Union,
calculated at the rate of twenty-five per cent. of such income-tax:
Provided also that in case of every domestic company whose income is chargeable to
tax under section 115BAA or section 115BAB of the Income-tax Act, the income-tax computed
calculated at the rate of ten per cent. of such income-tax:
Provided also that in case of every individual or Hindu undivided family, whose
income is chargeable to tax under section 115BAC of the Income-tax Act, the income-tax
computed under this sub-section shall be increased by a surcharge, for the purposes of the
Union, as provided in Paragraph A of Part I of the First Schedule:
Provided also that in case of every resident co-operative society, whose income is
chargeable to tax under section 115BAD of the Income-tax Act, the income-tax computed
calculated at the rate of ten per cent. of such income-tax.
(4) In cases in which tax has to be charged and paid under sub-section (2A) of
section 92CE or section 115QA or section 115TD of the Income-tax Act, the tax shall be
charged and paid at the rates as specified in those sections and shall be increased by a
surcharge, for the purposes of the Union, calculated at the rate of twelve per cent. of such
tax.
(5) In cases in which tax has to be deducted under sections 193, 194A, 194B, 194BA,
194BB, 194D, 194LBA, 194LBB, 194LBC and 195 of the Income-tax Act, at the rates in force,
the deductions shall be made at the rates specified in Part II of the First Schedule and shall
be increased by a surcharge, for the purposes of the Union, calculated in cases wherever
prescribed, in the manner provided therein.
(6) In cases in which tax has to be deducted under sections 192A, 194, 194C, 194DA,
194E, 194EE, 194F, 194G, 194H, 194-I, 194-IA, 194-IB, 194-IC, 194J, 194LA, 194LB, 194LBA,
194LBB, 194LBC, 194LC, 194LD, 194K, 194M, 194N, 194-O, 194Q,194R, 194S, 196A, 196B,
196C and 196D of the Income-tax Act, the deductions shall be made at the rates specified in
those sections and shall be increased by a surcharge, for the purposes of the Union,—
persons, except in case of an association of persons consisting of only companies as
its members, or body of individuals, whether incorporated or not, or every artificial
Income-tax Act, being a non-resident except in case of deduction on income by way

of dividend under section 196D of the Income-tax Act, calculated,—
(i) at the rate of ten per cent. of such tax, where the income or the aggregate
of such incomes paid or likely to be paid and subject to the deduction exceeds
fifty lakh rupees but does not exceed one crore rupees;
(ii) at the rate of fifteen per cent. of such tax, where the income or the
aggregate of such incomes paid or likely to be paid and subject to the deduction
exceeds one crore rupees but does not exceed two crore rupees;
(iii) at the rate of twenty-five per cent. of such tax, where the income or
the aggregate of such incomes paid or likely to be paid and subject to the
deduction exceeds two crore rupees but does not exceed five crore rupees;
(iv) at the rate of thirty-seven per cent. of such tax, where the income or
the aggregate of such incomes paid or likely to be paid and subject to the
deduction exceeds five crore rupees:
Provided that where the income of such person is chargeable to tax under
sub-section (1A) of section 115BAC of the Income-tax Act, the rate of surcharge shall
not exceed twenty-five per cent.;
(b) in the case of every individual or Hindu undivided family or association of
persons except in case of association of persons consisting of only companies as its
members, or body of individuals, whether incorporated or not, or every artificial
Income-tax Act, being a non-resident, in case of deduction on income by way of
dividend under section 196D of the Act, calculated,—
exceeds one crore rupees;
(c) in the case of an association of persons being a non-resident, and consisting
of only companies as its members, calculated,—
exceeds one crore rupees;
(d) in the case of every co-operative society, being a non-resident, calculated,—
(i) at the rate of seven per cent. of such tax, where the income or the
exceeds one crore rupees but does not exceed ten crore rupees;
(ii) at the rate of twelve per cent. of such tax, where the income or the
exceeds ten crore rupees;
(e) in the case of every firm, being a non-resident, calculated at the rate of
twelve per cent. of such tax, where the income or the aggregate of such incomes paid
or likely to be paid and subject to the deduction exceeds one crore rupees;
(f) in the case of every company, other than a domestic company, calculated,—
(i) at the rate of two per cent. of such tax, where the income or the aggregate
one crore rupees but does not exceed ten crore rupees;
(ii) at the rate of five per cent. of such tax, where the income or the
exceeds ten crore rupees.
(7) In cases in which tax has to be collected under the proviso to section 194B of the
Income-tax Act, the collection shall be made at the rates specified in Part II of the First
Schedule, and shall be increased by a surcharge, for the purposes of the Union, calculated,
in cases wherever prescribed, in the manner provided therein.
(8) In cases in which tax has to be collected under section 206C of the Income-tax Act,
the collection shall be made at the rates specified in that section and shall be increased by
a surcharge, for the purposes of the Union,—
persons, except in case of an association of persons consisting of only companies as
its members, or body of individuals, whether incorporated or not, or every artificial
Income-tax Act, being a non-resident, calculated,—
(i) at the rate of ten per cent. of such tax, where the amount or the aggregate
of such amounts collected or likely to be collected and subject to the collection
(ii) at the rate of fifteen per cent. of such tax, where the amount or the
aggregate of such amounts collected or likely to be collected and subject to the
collection exceeds one crore rupees but does not exceed two crore rupees;
(iii) at the rate of twenty-five per cent. of such tax, where the income or
the aggregate of such amounts collected or likely to be collected and subject to
the collection exceeds two crore rupees but does not exceed five crore rupees;
(iv) at the rate of thirty-seven per cent. of such tax, where the income or
the aggregate of such amounts collected or likely to be collected and subject to
the collection exceeds five crore rupees:
Provided that where the income of such person is chargeable to tax under
sub-section (1A) of section 115BAC of the Income-tax Act, the rate of surcharge shall
not exceed twenty-five per cent.;
(b) in the case of an association of persons, being a non-resident, and consisting
of only companies as its members, calculated,—
(i) at the rate of ten per cent. of such tax, where the amount or the aggregate
of such amounts collected or likely to be collected and subject to the collection
(ii) at the rate of fifteen per cent. of such tax, where the amount or the
collection exceeds one crore rupees;
(c) in the case of every co-operative society, being a non-resident, calculated,—
(i) at the rate of seven per cent. of such tax, where the amount or the
collection exceeds one crore rupees but does not exceed ten crore rupees;
(ii) at the rate of twelve per cent. of such tax, where the amount or the
collection exceeds ten crore rupees;
(d) in the case of every firm, being a non-resident, calculated at the rate of
twelve per cent. of such tax, where the amount or the aggregate of such amounts
collected or likely to be collected and subject to the collection exceeds one crore
rupees;
(e) in the case of every company, other than a domestic company, calculated,—
(i) at the rate of two per cent. of such tax, where the amount or the
collection exceeds one crore rupees but does not exceed ten crore rupees;
(ii) at the rate of five per cent. of such tax, where the amount or the
collection exceeds ten crore rupees.
(9) Subject to the provisions of sub-section (10), in cases in which income-tax has to
be charged under sub-section (4) of section 172 or sub-section (2) of section 174 or
section 174A or section 175 or sub-section (2) of section 176 of the Income-tax Act or
deducted from, or paid on, income chargeable under the head "Salaries" under section 192
of the said Act or deducted under section 194P of the said Act or in which the "advance tax"
payable under Chapter XVII-C of the said Act has to be computed at the rate or rates in
force, such income-tax or, as the case may be, "advance tax" shall be charged, deducted or
computed at the rate or rates specified in Part III of the First Schedule and such tax shall be
increased by a surcharge, for the purposes of the Union, calculated in such cases and in
such manner as provided therein:
Provided that in cases to which the provisions of Chapter XII or Chapter XII-A or
section 115JB or section 115JC or Chapter XII-FA or Chapter XII-FB or sub-section (1A) of
section 161 or section 164 or section 164A or section 167B of the Income-tax Act apply,
"advance tax" shall be computed with reference to the rates imposed by this sub-section or
the rates as specified in that Chapter or section, as the case may be:
Provided further that the amount of "advance tax" computed in accordance with the
provisions of section 111A or sections 112 or 112A of the Income-tax Act shall be increased
by a surcharge, for the purposes of the Union, as provided in Paragraph A, B, C, D or E, as
the case may be, of Part III of the First Schedule except in case of a domestic company
Income-tax Act or in case of an individual or Hindu undivided family or association of
persons, or body of individuals, whether incorporated or not, or an artificial juridical person
referred to in sub-clause (vii) of clause (31) of section 2 of the Income-tax Act whose
income is chargeable to tax under sub-section (1A) of section 115BAC of the Income-tax
Act, or in case of a resident co-operative society whose income is chargeable to tax under
section 115BAD or under section 115BAE of the Income-tax Act:
Provided also that in respect of any income chargeable to tax under section 115A,
115AB, 115AC, 115ACA, 115AD, 115B, 115BA, 115BB, 115BBA, 115BBC, 115BBF, 115BBG,
115BBH, 115BBI, 115BBJ, 115E, 115JB or 115JC of the Income-tax Act, "advance tax"
computed in accordance with the first proviso shall be increased by a surcharge, for the
purposes of the Union, calculated,—
persons, except in a case of an association of persons consisting of only companies
as its members, or body of individuals, whether incorporated or not, or every artificial
Income-tax Act, not having any income under section 115AD of the Income-tax Act,
and not having any income chargeable to tax under sub-section (1A) of
section 115BAC of the Income-tax Act,—
(i) at the rate of ten per cent. of such "advance tax", where the total
income exceeds fifty lakh rupees but does not exceed one crore rupees;
(ii) at the rate of fifteen per cent. of such "advance tax", where the total
income exceeds one crore rupees but does not exceed two crore rupees;
(iii) at the rate of twenty-five per cent. of such "advance tax", where the
total income exceeds two crore rupees but does not exceed five crore rupees;
(iv) at the rate of thirty-seven per cent. of such "advance tax", where the
total income exceeds five crore rupees;
(b) in the case of every individual or association of persons, except in case of an

association of persons consisting of only companies as its members, or body of
individuals, whether incorporated or not, or every artificial juridical person referred to
in sub-clause (vii) of clause (31) of section 2 of the Income-tax Act, having income
under section 115AD of the Income-tax Act, and not having any income chargeable to
tax under sub-section (1A) of section 115BAC of the Income-tax Act,—
income exceeds fifty lakh rupees, but does not exceed one crore rupees;
income exceeds one crore rupees but does not exceed two crore rupees;
(iii) at the rate of twenty-five per cent. of such "advance tax", where the
total income [excluding the income by way of dividend and income of the
nature referred to in clause (b) of sub-section (1) of section 115AD of the
Income-tax Act] exceeds two crore rupees but does not exceed five crore rupees;
(iv) at the rate of thirty-seven per cent. of such "advance tax", where the
total income [excluding the income by way of dividend or income of the nature
referred to in clause (b) of sub-section (1) of section 115AD of the Income-tax
Act] exceeds five crore rupees;
(v) at the rate of fifteen per cent. of such "advance tax", where the total
income [including the income by way of dividend or income of the nature
referred to in clause (b) of sub-section (1) of section 115AD of the Income-tax
Act] exceeds two crore rupees but is not covered in sub-clauses (iii) and (iv):
Provided that in case where the total income includes any income by way of
dividend or income chargeable under clause (b) of sub-section (1) of section 115AD
of the Income-tax Act, the rate of surcharge on the advance tax computed on that part
of income shall not exceed fifteen per cent.:
Provided further that where the total income of a person, being a specified fund
referred to in clause (c) of the Explanation to clause (4D) of section 10 of the
Income-tax Act, includes any income under clause (a) of sub-section (1) of
section 115AD of the Income-tax Act, the advance tax computed on that part of
income shall not be increased by any surcharge;
(c) in the case of an association of persons consisting of only companies as its
members,—
income exceeds fifty lakh rupees but does not exceed one crore rupees;
income exceeds one crore rupees;
(d) in the case of every co-operative society except such co-operative society
whose income is chargeable to tax under section 115BAD or section 115BAE of the
Income-tax Act,—
(i) at the rate of seven per cent. of such "advance tax", where the total
(ii) at the rate of twelve per cent. of such "advance tax", where the total
(e) in the case of every firm or local authority, at the rate of twelve per cent. of
such "advance tax", where the total income exceeds one crore rupees;
(f) in the case of every domestic company except such domestic company
Income-tax Act,—
(i) at the rate of seven per cent. of such "advance tax", where the total
(ii) at the rate of twelve per cent. of such "advance tax", where the total
(g) in the case of every company, other than a domestic company,—

(i) at the rate of two per cent. of such "advance tax", where the total
(ii) at the rate of five per cent. of such "advance tax", where the total
income exceeds ten crore rupees:
Provided also that in the case of persons mentioned in (a) and (b) above, having total
income chargeable to tax under section 115JC of the Income-tax Act, and such income
exceeds,—
(a) fifty lakh rupees but does not exceed one crore rupees, the total amount
payable as "advance tax" on such income and surcharge thereon shall not exceed the
total amount payable as "advance tax" on a total income of fifty lakh rupees by more
than the amount of income that exceeds fifty lakh rupees;
(b) one crore rupees but does not exceed two crore rupees, the total amount
total amount payable as "advance tax" and surcharge on a total income of one crore
rupees by more than the amount of income that exceeds one crore rupees;
(c) two crore rupees but does not exceed five crore rupees, the total amount
total amount payable as "advance tax" and surcharge on a total income of two crore
rupees by more than the amount of income that exceeds two crore rupees;
(d) five crore rupees, the total amount payable as "advance tax" on such income
and surcharge thereon shall not exceed the total amount payable as "advance tax"
and surcharge on a total income of five crore rupees by more than the amount of
income that exceeds five crore rupees:
Provided also that in the case of persons mentioned in (c) above, having total income
chargeable to tax under section 115JC of the Income-tax Act, and such income exceeds,—
(a) fifty lakh rupees, but does not exceed one crore rupees, the total amount
(b) one crore rupees, the total amount payable as "advance tax" on such income
and surcharge on a total income of one crore rupees by more than the amount of
income that exceeds one crore rupees:
Provided also that in the case of persons mentioned in (d) above, having total income
chargeable to tax under section 115JC of the Income-tax Act, and such income exceeds,—
(a) one crore rupees, but does not exceed ten crore rupees, the total amount
payable as "advance tax" on such income and surcharge thereon, shall not exceed the
total amount payable as "advance tax" on a total income of one crore rupees by more
than the amount of income that exceeds one crore rupees;
(b) ten crore rupees, the total amount payable as "advance tax" on such income
and surcharge thereon, shall not exceed the total amount payable as "advance tax"
and surcharge on a total income of ten crore rupees by more than the amount of
income that exceeds ten crore rupees:
Provided also that in the case of persons mentioned in (e) above, having total income
chargeable to tax under section 115JC of the Income-tax Act, and such income exceeds one
crore rupees, the total amount payable as "advance tax" on such income and surcharge
thereon, shall not exceed the total amount payable as "advance tax" on a total income of
one crore rupees by more than the amount of income that exceeds one crore rupees:
under section 115JB of the Income-tax Act, and such income exceeds one crore rupees but
does not exceed ten crore rupees, the total amount payable as "advance tax" on such
income and surcharge thereon, shall not exceed the total amount payable as "advance tax"
on a total income of one crore rupees by more than the amount of income that exceeds one
crore rupees:
under section 115JB of the Income-tax Act, and such income exceeds ten crore rupees, the
total amount payable as "advance tax" on such income and surcharge thereon, shall not
exceed the total amount payable as "advance tax" and surcharge on a total income of ten
crore rupees by more than the amount of income that exceeds ten crore rupees:
Provided also that in respect of any income chargeable to tax under clause (i) of
sub-section (1) of section 115BBE of the Income-tax Act, the "advance tax" computed in
accordance with the first proviso shall be increased by a surcharge, for the purposes of the
Union, calculated at the rate of twenty-five per cent. of such "advance tax":
Provided also that in case of every domestic company whose income is chargeable to
tax under section 115BAA or section 115BAB of the Income-tax Act, the "advance tax"
computed in accordance with the first proviso shall be increased by a surcharge, for the
purposes of the Union, calculated at the rate of ten per cent. of such "advance tax":
Provided also that in respect of income chargeable to tax under sub-section (1A) of
section 115BAC of the Income-tax Act, the "advance tax" computed in accordance with the
first proviso shall be increased by a surcharge, for the purposes of the Union, calculated, in
the case of an individual or Hindu undivided family or association of persons or body of
individuals, whether incorporated or not, or every artificial juridical person referred to in
sub-clause (vii) of clause (31) of section 2 of the Income tax Act,—
(i) having a total income (including the income by way of dividend or income
under the provisions of section 111A, section 112 and section 112A of the Income-tax
Act) exceeding fifty lakh rupees but not exceeding one crore rupees, at the rate of ten
per cent. of such "advance tax";
(ii) having a total income (including the income by way of dividend or income
Act) exceeding one crore rupees but not exceeding two crore rupees, at the rate of
fifteen per cent. of such "advance tax";
(iii) having a total income (excluding the income by way of dividend or income
Act) exceeding two crore rupees, at the rate of twenty-five per cent. of such
"advance tax"; and
(iv) having a total income (including the income by way of dividend or income
Act) exceeding two crore rupees, but is not covered under clause (iii) above, at the
rate of fifteen per cent. of such "advance tax":
Provided also that in case where the provisions of sub-section (1A) of section 115BAC
are applicable and the total income includes any income by way of dividend or income
chargeable under section 111A, section 112 and section 112A of the Income-tax Act, the
rate of surcharge on the "advance tax" in respect of that part of income shall not exceed
fifteen per cent.:
Provided also that in the case of a specified fund, referred to in clause (c) of the
Explanation to clause (4D) of section 10 of the Income-tax Act, whose income is chargeable
to tax under sub-section (1A) of section 115BAC and where such income includes any
income under clause (a) of sub-section (1) of section 115AD of the Income-tax Act, the
advance tax computed on that part of income shall not be increased by any surcharge:
Provided also that in case an association of persons consisting of only companies as
its members, and having its income chargeable to tax under sub-section (1A) of
section 115BAC, the rate of surcharge on the "advance tax" shall not exceed fifteen per cent.:
Provided also that in case of every individual or Hindu undivided family or association
of persons, or body of individuals, whether incorporated or not, or every artificial juridical
person referred to in sub-clause (vii) of clause (31) of section 2 of the Income-tax Act,
whose income is chargeable to tax under section 115BAC of the Income-tax Act having total
income exceeding,—
(a) fifty lakh rupees but does not exceed one crore rupees, the total amount
total amount payable as "advance tax" and surcharge on a total income of one crore
(c) two crore rupees, the total amount payable as "advance tax" on such income
and surcharge on a total income of two crore rupees by more than the amount of
income that exceeds two crore rupees:
Provided also that in case of every resident co-operative society whose income is
chargeable to tax under section 115BAD or section 115BAE of the Income-tax Act, the
"advance tax" computed in accordance with the first proviso shall be increased by a
surcharge, for the purposes of the Union, calculated at the rate of ten per cent. of such
"advance tax".
(10) In cases to which Paragraph A of Part III of the First Schedule applies, or in case
of an individual or Hindu undivided family or association of persons or body of individuals,
whether incorporated or not, or every artificial juridical person referred to in sub-clause (vii)
of clause (31) of section 2 of the Income-tax Act, being a resident, whose income is chargeable
to tax under sub-section (1A) of section 115BAC of the Income-tax Act, where the assessee
has, in the previous year or, if by virtue of any provision of the Income-tax Act, income-tax
is to be charged in respect of the income of a period other than the previous year, in such
other period, any net agricultural income exceeding five thousand rupees, in addition to
total income and the total income exceeds two lakh fifty thousand rupees, then, in charging
income-tax under sub-section (2) of section 174 or section 174A or section 175 or
sub-section (2) of section 176 of the said Act or in computing the "advance tax" payable
under Chapter XVII-C of the said Act, at the rate or rates in force,—
(a) the net agricultural income shall be taken into account, in the manner provided
in clause (b) that is to say, as if the net agricultural income were comprised in the total
income after the first two lakh fifty thousand rupees of the total income but without
being liable to tax, only for the purpose of charging or computing such income-tax or,
as the case may be, "advance tax" in respect of the total income; and
(b) such income-tax or, as the case may be, "advance tax" shall be so charged or
computed as follows:—
(i) the total income and the net agricultural income shall be aggregated
and the amount of income-tax or "advance tax" shall be determined in respect of
the aggregate income at the rates specified in the said Paragraph A, or
sub-section (1A) of section 115BAC, as if such aggregate income were the total
income;
(ii) the net agricultural income shall be increased by a sum of two lakh
fifty thousand rupees, and the amount of income-tax or "advance tax" shall be
determined in respect of the net agricultural income as so increased at the rates
specified in the said Paragraph A, or sub-section (1A) of section 115BAC, as if
the net agricultural income were the total income;
(iii) the amount of income-tax or "advance tax" determined in accordance
with sub-clause (i) shall be reduced by the amount of income-tax or, as the case
may be, "advance tax" determined in accordance with sub-clause (ii) and the
sum so arrived at shall be the income-tax or, as the case may be, "advance tax"
in respect of the total income:
Provided that in the case of every individual, being a resident in India, who is of the
age of sixty years or more but less than eighty years at any time during the previous year,
referred to in item (II) of Paragraph A of Part III of the First Schedule, the provisions of this
sub-section shall have effect as if for the words "two lakh fifty thousand rupees", the words
"three lakh rupees" had been substituted:
Provided further that in the case of every individual, being a resident in India, who is
of the age of eighty years or more at any time during the previous year, referred to in
item (III) of Paragraph A of Part III of the First Schedule, the provisions of this sub-section
shall have effect as if for the words "two lakh fifty thousand rupees", the words "five lakh
rupees" had been substituted:
Provided also that in the case of every individual or Hindu undivided family or
association of persons or body of individuals, whether incorporated or not, or every artificial
juridical person referred to in sub-clause (vii) of clause (31) of section 2 of the Income-tax
Act, being a resident, whose income is chargeable to tax under sub-section (1A) of
section 115BAC of the Income-tax Act, the provisions of this sub-section shall have effect
as if for the words "two lakh fifty thousand rupees", the words "three lakh rupees" had
been substituted:
Provided also that the amount of income-tax or "advance tax" so arrived at, shall be
increased by a surcharge for the purposes of the Union, calculated in each case, in the
manner provided in this section.
(11) The amount of income-tax as specified in sub-sections (1) to (3) and as increased
by the applicable surcharge, for the purposes of the Union, calculated in the manner provided
therein, shall be further increased by an additional surcharge, for the purposes of the
Union, to be called the "Health and Education Cess on income-tax", calculated at the rate of
four per cent. of such income-tax and surcharge so as to fulfil the commitment of the
Government to provide and finance quality health services and universalised quality basic
education and secondary and higher education.
(12) The amount of income-tax as specified in sub-sections (4) to (10) and as increased
by the applicable surcharge, for the purposes of the Union, calculated in the manner provided
therein, shall be further increased by an additional surcharge, for the purposes of the
Union, to be called the "Health and Education Cess on income-tax", calculated at the rate of
four per cent. of such income-tax and surcharge so as to fulfil the commitment of the
Government to provide and finance quality health services and universalised quality basic
education and secondary and higher education:
Provided that nothing contained in this sub-section shall apply to cases in which tax
is to be deducted or collected under the sections of the Income-tax Act mentioned in
sub-sections (5), (6), (7) and (8), if the income subjected to deduction of tax at source or
collection of tax at source is paid to a domestic company and any other person who is
resident in India:
Provided further that nothing contained in this sub-section shall apply in respect of
income-tax as specified in sub-section (9), calculated on income, referred to in clause (a) of
sub-section (1) of section 115AD of the Income-tax Act, of specified fund referred to in
clause (c) of the Explanation to clause (4D) of section 10 of the Income-tax Act.
(13) For the purposes of this section and the First Schedule,—
(a) "domestic company" means an Indian company or any other company
which, in respect of its income liable to income-tax under the Income-tax Act, for the
assessment year commencing on the 1st day of April, 2023, has made the prescribed
arrangements for the declaration and payment within India of the dividends (including
dividends on preference shares) payable out of such income;
(b) "insurance commission" means any remuneration or reward, whether by
way of commission or otherwise, for soliciting or procuring insurance business
(including business relating to the continuance, renewal or revival of policies of
insurance);
(c) "net agricultural income" in relation to a person, means the total amount of
agricultural income, from whatever source derived, of that person computed in
accordance with the rules contained in Part IV of the First Schedule;
(d) all other words and expressions used in this section and the First Schedule
but not defined in this sub-section and defined in the Income-tax Act shall have the
meanings, respectively, assigned to them in that Act.
CHAPTER III
DIRECT TAXES
Income-tax
Amendment of 3. In section 2 of the Income-tax Act,—
section 2.
(a) in clause (19B), the words and brackets "or an Additional Commissioner of
Income-tax (Appeals)" shall be omitted;
(b) in clause (24), after sub-clause (xviib), the following sub-clauses shall be
inserted with effect from the 1st day of April, 2024, namely:—
"(xviic) any sum referred to in clause (xii) of sub-section (2) of section 56;
(xviid) any sum referred to in clause (xiii) of sub-section (2) of section 56;";
(c) after clause (28C), the following clause shall be inserted, namely:—
'(28CA) "Joint Commissioner (Appeals)" means a person appointed to be
a Joint Commissioner of Income-tax (Appeals) or an Additional Commissioner
of Income-tax (Appeals) under sub-section (1) of section 117;';
(d) in clause (37A), in sub-clause (ii), after the figures and letter “194B,”, the
figures and letters “194BA,” shall be inserted;
(e) in clause (42A), in Explanation 1, in clause (i), after sub-clause (hh),
the following sub-clause shall be inserted with effect from the 1st day of April, 2024,
namely:—
"(hi) in the case of a capital asset, being—
(a) Electronic Gold Receipt issued in respect of gold deposited as
referred to in clause (viid) of section 47, there shall be included the period
for which such gold was held by the assessee prior to conversion into
the Electronic Gold Receipt;
(b) gold released in respect of an Electronic Gold Receipt as referred
to in clause (viid) of section 47, there shall be included the period for
which such Electronic Gold Receipt was held by the assessee prior to its
conversion into gold;".
Amendment of 4. In section 9 of the Income-tax Act, in sub-section (1), for clause (viii), the following
section 9. clause shall be substituted with effect from the 1st day of April, 2024, namely:—
"(viii) income arising outside India, being any sum of money referred to in
sub-clause (xviia) of clause (24) of section 2, paid by a person resident in India—
(a) on or after the 5th day of July, 2019 to a non-resident, not being a
company, or to a foreign company; or
(b) on or after the 1st day of April, 2023 to a person not ordinarily resident
in India within the meaning of clause (6) of section 6.".
section 10.
(a) in clause (4D), in the Explanation, in clause (c), in sub-clause (i), in item (I),
after the words and figures "Securities and Exchange Board of India Act, 1992, or", 15 of 1992.
the words, brackets and figures "regulated under the International Financial Services
Centres Authority (Fund Management) Regulations, 2022, made under the" shall be
inserted;
(b) for clause (4E), the following shall be substituted with effect from the 1st
day of April, 2024,—
"(4E) any income accrued or arisen to, or received by a non-resident as a
result of—
(i) transfer of non-deliverable forward contracts or offshore
derivative instruments or over-the-counter derivatives; or
(ii) distribution of income on offshore derivative instruments,

entered into with an offshore banking unit of an International Financial Services
Centre referred to in sub-section (1A) of section 80LA, which fulfils such
conditions as may be prescribed;";
(c) for clause (4G), the following clauses shall be substituted with effect from
the 1st day of April, 2024, namely:—
'(4G) any income received by a non-resident from,—
(i) portfolio of securities or financial products or funds, managed or
administered by any portfolio manager on behalf of such non-resident; or
(ii) such activity carried out by such person, as may be notified by
the Central Government in the Official Gazette,
in an account maintained with an Offshore Banking Unit in any International
Financial Services Centre, as referred to in sub-section (IA) of section 80LA, to
the extent such income accrues or arises outside India and is not deemed to
accrue or arise in India.
Explanation.—For the purposes of this clause, “portfolio manager” shall
have the same meaning as assigned to it in clause (z) of sub-regulation (1) of
regulation 2 of the International Financial Services Centres Authority (Capital
Market Intermediaries) Regulations, 2021, made under the International
50 of 2019. Financial Services Centres Authority Act, 2019;
(4H) any income of a non-resident or a Unit of an International Financial
Services Centre, as referred to in sub-section (1A) of section 80LA, engaged
primarily in the business of leasing of an aircraft, by way of capital gains arising
from the transfer of equity shares of domestic company, being a Unit of an
International Financial Services Centre, as referred to in sub-section (1A) of
section 80LA, engaged primarily in the business of lease of an aircraft which has
commenced operations on or before the 31st day of March, 2026:
Provided that the provisions of this clause shall apply for capital gains
arising from the transfer of equity shares of such domestic company in a
previous year relevant to an assessment year falling within the—
(a) period of ten assessment years beginning with the assessment
year relevant to the previous year in which the domestic company has
commenced operations; or
(b) period of ten assessment years beginning with the assessment
year commencing on the 1st day of April, 2024, where the period referred
to in clause (a) ends before the 1st day of April, 2034.
Explanation.—For the purposes of this clause, “aircraft” means an air-
craft or a helicopter, or an engine of an aircraft or a helicopter, or any part
thereof;';
(d) in clause (10D),—
(i) in the second proviso, the words, brackets, figures and letter "or the
Explanation to sub-section (2A) of section 88, as the case may be" shall be
omitted;
(ii) for the sixth proviso, the following provisos shall be substituted with
effect from the 1st day of April, 2024, namely:—
"Provided also that nothing contained in this clause shall apply
with respect to any life insurance policy, other than a unit linked insurance
policy, issued on or after the 1st day of April, 2023, if the amount of
premium payable for any of the previous years during the term of such
policy exceeds five lakh rupees:
Provided also that if the premium is payable by a person for more

than one life insurance policy, other than unit linked insurance policy,
issued on or after the 1st day of April, 2023, the provisions of this clause
shall apply only with respect to those life insurance policies, other than
unit linked insurance policies, where the aggregate amount of premium
does not exceed the amount referred to in the sixth proviso in any of the
previous years during the term of any of those policies:
Provided also that the provisions of the fourth, fifth, sixth and
seventh provisos shall not apply to any sum received on the death of a
person:";
(e) after clause (12B), the following shall be inserted, namely:—
'(12C) any payment from the Agniveer Corpus Fund to a person enrolled
under the Agnipath Scheme, or to his nominee.
Explanation.—For the purposes of this clause "Agniveer Corpus Fund"
and "Agnipath Scheme" shall have the meanings respectively assigned to
them in section 80CCH;';
(f) in clause (22B), after the third proviso, the following proviso shall be inserted
with effect from the 1st day of April, 2024, namely:—
"Provided also that nothing contained in this clause shall apply to any
income of the news agency of the previous year relevant to the assessment
year beginning on or after the 1st day of April, 2024;";
(g) clause (23BBF) shall be omitted;
(h) in clause (23C),—
(I) with effect from the 1st day of October, 2023,—
(i) in the first proviso, for clause (iv), the following clause shall be
substituted, namely:—
"(iv) in any other case, where activities of the fund or trust or
institution or university or other educational institution or hospital
or other medical institution have—
(A) not commenced, at least one month prior to the
commencement of the previous year relevant to the
assessment year from which the said approval is sought;
(B) commenced and no income or part thereof of the
said fund or trust or institution or university or other
educational institution or hospital or other medical
institution has been excluded from the total income on account
of applicability of sub-clause (iv) or sub-clause (v) or
sub-clause (vi) or sub-clause (via) or section 11 or section 12
for any previous year ending on or before the date of such
application, at any time after the commencement of such
activities,";
(ii) in the second proviso,—
(a) in clause (ii),—
(A) in the opening portion, after the word, brackets and
figures "clause (iii)", the words, brackets, letter and figures
"or sub-clause (B) of clause (iv)" shall be inserted;
(B) in sub-clause (b), for item (B), the following item
shall be substituted, namely:—
"(B) if he is not so satisfied, pass an order in
writing,—
(I) in a case referred to in clause (ii) or
clause (iii) of the first proviso, rejecting such
application and also cancelling its approval;
(II) in a case referred to in sub-clause (B) of

clause (iv) of the first proviso, rejecting such
application,
after affording it a reasonable opportunity of being
heard;";
(b) for clause (iii), the following clause shall be substituted,
namely:—
"(iii) where the application is made under
sub-clause (A) of clause (iv) of the said proviso or the
application made under clause (iv) of the said proviso, as it
stood immediately before its amendment by the Finance
Act, 2023, pass an order in writing granting approval to it
provisionally for a period of three years from the assessment
year from which the approval is sought, and send a copy of
such order to the fund or trust or institution or university or
other educational institution or hospital or other medical
institution:";
(II) in the third proviso,—
(i) in Explanation 2,—
(a) in clause (i),—
(A) in the proviso, the word "and" shall be omitted;
(B) after the proviso, the following provisos shall be
inserted, namely:—
"Provided further that the provisions of the first
proviso shall apply only if there was no violation of the
conditions specified in the twelfth, thirteenth and
twenty-first provisos, and those specified in
Explanation 2 and Explanation 3, of this clause, at the
time the application was made from the corpus:
Provided also that the amount invested or
deposited back shall not be treated as application for
charitable or religious purposes under the first proviso
unless such investment or deposit is made within a
period of five years from the end of the previous year
in which such application was made from the corpus:
Provided also that nothing contained in the first
proviso shall apply where the application from the
corpus is made on or before the 31st day of
March, 2021;";
(b) in clause (ii), after the proviso, the following provisos
shall be inserted, namely:—
"Provided further that the provisions of the first proviso
shall apply only if there was no violation of the conditions
specified in the twelfth, thirteenth and twenty-first provisos,
and those specified in Explanation 2 and Explanation 3, of
this clause at the time the application was made from loan or
borrowing:
Provided also that the amount repaid shall not be
treated as application for charitable or religious purposes
under the first proviso unless such repayment is made within
a period of five years from the end of the previous year in
which such application was made from loan or borrowing:
Provided also that nothing contained in the first proviso

shall apply where the application from any loan or borrowing
is made on or before the 31st day of March, 2021; and";
(c) after clause (ii), the following clause shall be inserted with
"(iii) any amount credited or paid out of the income of
any fund or trust or institution or any university or other
educational institution or any hospital or other medical
institution referred to in sub-clause (iv) or sub-clause (v) or
sub-clause (vi) or sub-clause (via), other than the amount
referred to in the twelfth proviso, to any other fund or trust or
institution or any university or other educational institution
or any hospital or other medical institution referred to in
sub-clause (iv) or sub-clause (v) or sub-clause (vi) or
sub-clause (via), or trust or institution registered under section
12AB, as the case may be, shall be treated as application
for charitable or religious purposes only to the extent of
eighty-five per cent. of such amount credited or paid.";
(ii) in Explanation 3, in clause (c), for the words "furnished on or
before", the words "furnished at least two months prior to" shall be
substituted;
(III) in the fifteenth proviso, in Explanation 2,—
(A) in clause (d), for the words "attained finality.", the words
"attained finality; or" shall be substituted;
(B) after clause (d), the following clause shall be inserted, namely:—
"(e) the application referred to in the first proviso of this
clause is not complete or it contains false or incorrect information.";
(IV) in the nineteenth proviso, in the Explanation, with effect from the
1st day of April, 2024,—
(a) after the words, brackets and figures "notified under
clause (46)", the word, brackets, figures and letter "or (46A)" shall be
inserted;
(b) for the words, brackets and figures "under clause (46)", the
words, brackets, figures and letter "under clause (46) or clause (46A)"
shall be substituted;
(V) in the twentieth proviso, for the words "within the time allowed under
that section", the words, brackets and figures "within the time allowed under
sub-section (1) or sub-section (4) of that section" shall be substituted;
(i) clause (23EB) shall be omitted;
(j) in clause (23FE), in the opening paragraph, for the word "interest", the
words, brackets and figures "interest, any sum referred to in clause (xii) of
sub-section (2) of section 56" shall be substituted with effect from the 1st day of
April, 2024;
(k) clause (26A) shall be omitted;
(l) for clause (26AAA), the following clause shall be substituted and shall be
deemed to have been substitued with effect from the 1st day of April, 1990, namely:—
‘(26AAA) in case of an individual, being a Sikkimese, any income which
accrues or arises to him—
(a) from any source in the State of Sikkim; or
(b) by way of dividend or interest on securities.
Explanation.—For the purposes of this clause “Sikkimese” shall mean—

(i) an individual, whose name is recorded in the register maintained
under the Sikkim Subjects Regulation, 1961 read with the Sikkim Subject
Rules, 1961 (hereinafter referred to as the “Register of Sikkim Subjects”),
immediately before the 26th day of April, 1975; or
(ii) an individual, whose name is included in the Register of Sikkim
Subjects by virtue of the Government of India Order No. 26030/36/90-
I.C.I., dated the 7th August, 1990 and Order of even number dated the 8th
April, 1991; or
(iii) any other individual, whose name does not appear in the Reg-
ister of Sikkim Subjects, but it is established beyond doubt that the name
of such individual’s father or husband or paternal grand-father or brother
from the same father has been recorded in that register; or
(iv) any other individual, whose name does not appear in the Regis-
ter of Sikkim Subjects but it is established that such individual was domi-
ciled in Sikkim on or before the 26th day of April, 1975; or
(v) any other individual, who was not domiciled in Sikkim on or
before the 26th day of April, 1975, but it is established beyond doubt that
such individual’s father or husband or paternal grand-father or brother
from the same father was domiciled in Sikkim on or before the 26th day of
April, 1975;’;
(m) after clause (34A), the following clause shall be inserted with effect from the
1st day of April, 2024, namely:—
‘(34B) any income of a Unit of any International Financial Services Centre,
primarily engaged in the business of leasing of an aircraft, by way of dividends
from a company being a Unit of any International Financial Services Centre
primarily engaged in the business of leasing of an aircraft.
Explanation.—For the purposes of this clause, “International Financial
Services Centre” shall have the same meaning as assigned to it in clause (q) of
28 of 2005. section 2 of the Special Economic Zones Act, 2005;’;
(n) clause (41) shall be omitted;
(o) in clause (46), for the words ", or a class thereof " at both the places where
they occur, the words, figures and letter "other than those covered under
clause (46A), or a class thereof" shall be substituted with effect from the 1st day of
April, 2024;
(p) after clause (46), the following clauses shall be inserted with effect from the
"(46A) any income arising to a body or authority or Board or Trust or
Commission, not being a company, which—
(a) has been established or constituted by or under a Central Act
or State Act with one or more of the following purposes, namely:—
(i) dealing with and satisfying the need for housing
accommodation;
(ii) planning, development or improvement of cities, towns
and villages;
(iii) regulating, or regulating and developing, any activity for
the benefit of the general public; or
(iv) regulating any matter, for the benefit of the general public,
arising out of the object for which it has been created; and
(b) is notified by the Central Government in the Official Gazette for
the purposes of this clause;
(46B) any income accruing or arising to,—

(i) National Credit Guarantee Trustee Company Limited, being a
company established and wholly financed by the Central Government for
the purposes of operating credit guarantee funds established and wholly
financed by the Central Government; or
(ii) a credit guarantee fund established and wholly financed by the
Central Government and managed by the National Credit Guarantee
Trustee Company Limited; or
(iii) Credit Guarantee Fund Trust for Micro and Small Enterprises,
being a trust created by the Government of India and the Small Industries
Development Bank of India established under sub-section (1) of
section 3 of the Small Industries Development Bank of India Act, 1989;"; 39 of 1989.
(q) clause (49) shall be omitted.

Amendment of 6. In section 10AA of the Income-tax Act, with effect from the 1st day of
section 10AA. April, 2024,—
(a) in sub-section (1), after clause (ii) and before the Explanation, the following
proviso shall be inserted, namely:—
"Provided that no such deduction shall be allowed to an assessee who
does not furnish a return of income on or before the due date specified under
sub-section (1) of section 139.";
(b) after sub-section (4), the following shall be inserted, namely:—
'(4A) This section applies to a Unit, if the proceeds from sale of goods or
provision of services is received in, or brought into, India by the assessee in
convertible foreign exchange, within a period of six months from the end of the
previous year or, within such further period as the competent authority may
allow in this behalf.
Explanation 1.—For the purposes of this sub-section, the expression
"competent authority" means the Reserve Bank of India or the authority
authorised under any law for the time being in force for regulating payments
and dealings in foreign exchange.
Explanation 2.—The sale of goods or provision of services shall be
deemed to have been received in India where such export turnover is credited
to a separate account maintained for that purpose by the assessee with any
bank outside India with the approval of the Reserve Bank of India.';
(c) in Explanation 1, for clause (i), the following clauses shall be substituted,
namely:—
'(i) "convertible foreign exchange" shall have the meaning assigned to it
in clause (ii) of the Explanation 2 to section 10A;
(ia) "export turnover" means the consideration in respect of export by
the undertaking, being the Unit of articles or things or services received in, or
brought into, India by the assessee in convertible foreign exchange in accordance
with the provisions of sub-section (4A), but does not include freight,
telecommunication charges or insurance attributable to the delivery of the articles
or things outside India or expenses, if any, incurred in foreign exchange in
rendering of services (including computer software) outside India;'.
section 11.
(A) in sub-section (1),—
(a) in Explanation 1, in clause (2), in sub-clause (ii), in the long line, for
the words "before the expiry of the time allowed", the words "at least two
months prior to the due date specified" shall be substituted;
(b) in Explanation 4,—

(I) in clause (i),—
(a) in the proviso, for the words "deposit; and", the word
"deposit:" shall be substituted;
(b) after the proviso, the following provisos shall be inserted,
namely:—
"Provided further that provisions of the first proviso
shall apply only if there was no violation of the conditions
specified—
(a) in clause (c) of this sub-section;
(b) in Explanations 2, 3 and 5 of this sub-section;
(c) in the Explanation to this section; and
(d) in clause (c) of sub-section (1) of section 13,
at the time the application was made from the corpus:
Provided also that the amount invested or deposited
back shall not be treated as application for charitable or
religious purposes under the first proviso unless such
investment or deposit is made within a period of five years
from the end of the previous year in which such application
was made from the corpus:
Provided also that nothing contained in the first
proviso shall apply where application from the corpus is made
on or before the 31st day of March, 2021;";
(II) in clause (ii), after the proviso, the following provisos shall be
"Provided further that provisions of the first proviso shall
apply only if there was no violation of the conditions specified—
(a) in clause (c) of this sub-section;
(b) in Explanations 2, 3 and 5 of this sub-section;
(c) in the Explanation to this section; and
(d) in clause (c) of sub-section (1) of section 13,
at the time the application was made from loan or borrowing:
Provided also that the amount repaid shall not be treated as
application for charitable or religious purposes under the
first proviso unless such repayment is made within a period of
five years from the end of the previous year in which such application
was made from loan or borrowing:
Provided also that nothing contained in the first proviso shall
apply where application from any loan or borrowing is made on or
before the 31st day of March, 2021; and";
(III) after clause (ii), the following clause shall be inserted with
"(iii) any amount credited or paid, other than the amount
referred to in Explanation 2, to any fund or trust or institution or
any university or other educational institution or any hospital or
other medical institution referred to in sub-clause (iv) or
sub-clause (v) or sub-clause (vi) or sub-clause (via) of clause (23C)
of section 10, as the case may be, or other trust or institution
registered under section 12AB, as the case may be, shall be treated
as application for charitable or religious purposes only to the extent

of eighty-five per cent. of such amount credited or paid.";
(B) in sub-section (2), in clause (c), for the words "on or before", the words "at
least two months prior to" shall be substituted;
(C) in sub-section (7), with effect from the 1st day of April, 2024,—
(a) for the words, brackets and figures "and clause (46)", the words,
brackets, figures and letters ", clause (23EC), clause (46) and clause (46A)"
(b) in the first proviso, for the words, brackets and figures "under
clause (46)", the words, brackets, figures and letters "under clause (23EC) or
clause (46) or clause (46A)" shall be substituted;
(c) in the second proviso, for the words, brackets and figures "under
clause (46)", the words, brackets, figures and letters "under clause (23EC) or
clause (46) or clause (46A)" shall be substituted.
Amendment of 8. In section 12A of the Income-tax Act,—
section 12A.
(a) in sub-section (1),—
(I) in clause (ac), for sub-clause (vi), the following sub-clause shall be
substituted with effect from the 1st day of October, 2023, namely:—
"(vi) in any other case, where activities of the trust or institution
have—
commencement of the previous year relevant to the assessment
year from which the said registration is sought;
(B) commenced and no income or part thereof of the
said trust or institution has been excluded from the total income on
account of applicability of sub-clause (iv) or sub-clause (v) or
sub-clause (vi) or sub-clause (via) of clause (23C) of section 10, or
section 11 or section 12, for any previous year ending on or before
the date of such application, at any time after the commencement of
such activities,";
(II) in clause (ba), for the words "within the time allowed under that
section", the words, brackets and figures "within the time allowed under
sub-section (1) or sub-section (4) of that section" shall be substituted;
(b) in sub-section (2), the second, third and fourth provisos shall be omitted.
Amendment of 9. In section 12AB of the Income-tax Act,—
section 12AB.
(a) in sub-section (1), with effect from the 1st day of October, 2023,—
(A) in clause (b),—
(a) in the opening portion, after the word, brackets and figure
"sub-clause (v)", the words, brackets, letter and figures "or item (B) of
sub-clause (vi)" shall be inserted;
(b) in sub-clause (ii), for item (B), the following item shall be
"(B) if he is not so satisfied, pass an order in writing,—
(I) in a case referred to in sub-clause (ii) or
sub-clause (iii) or sub-clause (v) of clause (ac) of
sub-section (1) of section 12A rejecting such application and
also cancelling its registration;
(II) in a case referred to in sub-clause (iv) or in item (B)
of sub-clause (vi) of sub-section (1) of section 12A, rejecting
such application,
after affording a reasonable opportunity of being heard;";

(B) for clause (c), the following clause shall be substituted, namely:—
"(c) where the application is made under item (A) of sub-clause (vi)
of the said clause or the application is made under sub-clause (vi) of the
said clause, as it stood immediately before its amendment vide the Finance
Act, 2023, pass an order in writing provisionally registering the trust or
institution for a period of three years from the assessment year from
which the registration is sought;";
(b) in sub-section (4), in the Explanation, in clause (f), for the words "attained
finality.", the words "attained finality; or" shall be substituted;
(c) after clause (f), the following clause shall be inserted, namely:—
"(g) the application referred to in clause (ac) of sub-section (1) of
section 12A is not complete or it contains false or incorrect information.".
10. In section 17 of the Income-tax Act,— Amendment of
section 17.
(i) in clause (1), after sub-clause (viii), the following sub-clause shall be inserted,
namely:—
"(ix) the contribution made by the Central Government in the previous
year, to the Agniveer Corpus Fund account of an individual enrolled in the
Agnipath Scheme referred to in section 80CCH;";
(ii) in clause (2), with effect from the 1st day of April, 2024,—
(a) in sub-clause (i), after the word "employer", the words "computed in
such manner as may be prescribed" shall be inserted;
(b) for sub-clause (ii) and Explanations 1 to 4 thereto, the following shall
be substituted, namely:—
"(ii) the value of any accommodation provided to the assessee by
his employer at a concessional rate.
Explanation.—For the purposes of this sub-clause, it is
clarified that accommodation shall be deemed to have been provided
at a concessional rate, if the value of accommodation computed in
such manner as may be prescribed, exceeds the rent recoverable
from, or payable by, the assessee;".
11. In section 28 of the Income-tax Act, for clause (iv), the following clause shall be Amendment of
substituted with effect from the 1st day of April, 2024, namely:— section 28.
"(iv) the value of any benefit or perquisite arising from business or the exercise
of a profession, whether—
(a) convertible into money or not; or
(b) in cash or in kind or partly in cash and partly in kind;".
12. In section 35D of the Income-tax Act, in sub-section (2), in clause (a), for the Amendment of
proviso, the following proviso shall be substituted with effect from the 1st day of section 35D.
April, 2024, namely:—
"Provided that the assessee shall furnish a statement containing the particulars
of expenditure specified in this clause within such period, to such income-tax authority,
in such form and manner, as may be prescribed.".
13. In section 43B of the Income-tax Act, with effect from the 1st day of April, 2024,— Amendment of
section 43B.
(i) in clause (da), for the words "a deposit taking non-banking financial company
or systemically important non-deposit taking non-banking financial company", the
words "such class of non-banking financial companies as may be notified by the
Central Government in the Official Gazette in this behalf" shall be substituted;
(ii) in clause (g), after the word "assets,", the word "or" shall be inserted;
(iii) after clause (g), the following clause shall be inserted, namely:—
"(h) any sum payable by the assessee to a micro or small enterprise
beyond the time-limit specified in section 15 of the Micro, Small and Medium
Enterprises Development Act, 2006,"; 27 of 2006.
(iv) in the proviso, after the words "nothing contained in this section", the
brackets, words and letter "[except the provisions of clause (h)]" shall be inserted;
(v) in Explanation 4,—
(I) for clause (e), the following clause shall be substituted, namely:—
'(e) "micro enterprise" shall have the meaning assigned to it in
clause (h) of section 2 of the Micro, Small and Medium Enterprises
Development Act, 2006;'; 27 of 2006.
(II) for clause (g), the following clause shall be substituted, namely:—
'(g) "small enterprise" shall have the meaning assigned to it in
clause (m) of section 2 of the Micro, Small and Medium Enterprises
Development Act, 2006.'. 27 of 2006.
Amendment of 14. In section 43D of the Income-tax Act, with effect from the 1st day of April, 2024,—
section 43D.
(i) in clause (a), for the words "a deposit taking non-banking financial company
or a systemically important non-deposit taking non-banking financial company", the
words "such class of non-banking financial companies as may be notified by the
Central Government in the Official Gazette in this behalf" shall be substituted;
(ii) in the long line, for the words "a deposit taking non-banking financial
company or a systemically important non-deposit taking non-banking financial
company", the words "such class of non-banking financial companies as may be
notified by the Central Government in the Official Gazette in this behalf," shall be
substituted;
(iii) in the Explanation, for clause (h), the following clause shall be substituted,
namely:—
'(h) the expression "non-banking financial company" shall have the
meaning assigned to it in clause (vii) of the Explanation to clause (viia) of
sub-section (1) of section 36.'.
Amendment of 15. In section 44AB of the Income-tax Act, for the first proviso, the following proviso
section 44AB. shall be substituted with effect from the 1st day of April, 2024, namely:—
"Provided that this section shall not apply to a person, who declares profits
and gains for the previous year in accordance with the provisions of sub-section (1)
of section 44AD or sub-section (1) of section 44ADA:".
Amendment of 16. In section 44AD of the Income-tax Act, in the Explanation, in clause (b), after
section 44AD. sub-clause (ii), the following provisos shall be inserted with effect from the 1st day of
'Provided that where the amount or aggregate of the amounts received during
the previous year, in cash, does not exceed five per cent. of the total turnover or gross
receipts of such previous year, this sub-clause shall have effect as if for the words
"two crore rupees", the words "three crore rupees" had been substituted:
Provided further that for the purposes of the first proviso, the receipt of amount
or aggregate of amounts by a cheque drawn on a bank or by a bank draft, which is not
account payee, shall be deemed to be the receipt in cash.'.
17. In section 44ADA of the Income-tax Act, after sub-section (1), the following Amendment of
provisos shall be inserted with effect from the1st day of April, 2024, namely:— section 44ADA.
'Provided that in case of an assessee where the amount or aggregate of the

amounts received during the previous year, in cash, does not exceed five per cent. of
the total gross receipts of such previous year, this sub-section shall have effect as if
for the words "fifty lakh rupees", the words "seventy-five lakh rupees" had been
substituted:
Provided further that for the purposes of the first proviso, the receipt of amount
or aggregate of amounts by a cheque drawn on a bank or by a bank draft, which is not
account payee, shall be deemed to be the receipt in cash.'.
18. In section 44BB of the Income-tax Act, after sub-section (3) and before the Amendment of
Explanation, the following sub-section shall be inserted with effect from the 1st day of section 44BB.
"(4) Notwithstanding anything contained in sub-section (2) of section 32 and
sub-section (1) of section 72, where an assessee declares profits and gains of business
for any previous year in accordance with the provisions of sub-section (1), no set off
of unabsorbed depreciation and brought forward loss shall be allowed to the assessee
for such previous year.".
19. In section 44BBB of the Income-tax Act, after sub-section (2), the following Amendment of
sub-section shall be inserted with effect from the 1st day of April, 2024, namely:— section 44BBB.
"(3) Notwithstanding anything contained in sub-section (2) of section 32 and

sub-section (1) of section 72, where an assessee declares profits and gains of business
for any previous year in accordance with the provisions of sub-section (1), no set off
of unabsorbed depreciation and brought forward loss shall be allowed to the assessee
for such previous year.".
20. In section 45 of the Income-tax Act, in sub-section (5A), for the words "the Amendment of
consideration received in cash, if any,", the words "any consideration received in cash or section 45.
by a cheque or draft or by any other mode" shall be substituted with effect from the 1st day
of April, 2024.
section 47.
(a) in clause (viiad), in the Explanation,—
(i) for clause (a), the following clause shall be substituted, namely:—
'(a) "original fund" means—
(A) a fund established or incorporated or registered outside
India, which collects funds from its members for investing it for their
benefit and fulfils the following conditions, namely:—
(i) the fund is not a person resident in India;
(ii) the fund is a resident of a country or a specified
territory with which an agreement referred to in sub-section (1)
of section 90 or sub-section (1) of section 90A has been entered
into; or is established or incorporated or registered in a country
or a specified territory as may be notified by the Central
Government in this behalf;
(iii) the fund and its activities are subject to applicable
investor protection regulations in the country or specified
territory where it is established or incorporated or is a resident;
and
(iv) fulfils such other conditions as may be prescribed;
(B) an investment vehicle, in which Abu Dhabi Investment
Authority is the direct or indirect sole shareholder or unit holder or
beneficiary or interest holder and such investment vehicle is wholly
owned and controlled, directly or indirectly, by the Abu Dhabi
Investment Authority or the Government of Abu Dhabi; or
(C) a fund notified by the Central Government in the

Official Gazette in this behalf subject to such conditions as
may be specified;';
(ii) in clause (b), for the figures "2023", the figures "2025" shall be
substituted;
(iii) in clause (c), in sub-clause (i), after the words and figures "Securities
and Exchange Board of India Act, 1992 or", the words, brackets and figures 15 of 1992.
"regulated under the International Financial Services Centres Authority (Fund
Management) Regulations, 2022, made under the" shall be inserted;
(b) after clause (viic), the following clause shall be inserted with effect from the
'(viid) any transfer of a capital asset, being conversion of gold into
Electronic Gold Receipt issued by a Vault Manager, or conversion of Electronic
Gold Receipt into gold.
Explanation.—For the purposes of this clause, the expressions "Electronic
Gold Receipt" and "Vault Manager" shall have the meanings respectively assigned
to them in clauses (h) and (l) of sub-regulation (1) of regulation 2 of the Securities
and Exchange Board of India (Vault Managers) Regulations, 2021 made under the
Securities and Exchange Board of India Act, 1992;"; 15 of 1992.
(c) after clause (xix), the following clause shall be inserted, namely:—
'(xx) any transfer of a capital asset, being an interest in a joint venture, held
by a public sector company, in exchange of shares of a company incorporated
outside India by the Government of a foreign State, in accordance with the laws
of that foreign State.
Explanation.—For the purposes of this clause, "joint venture" shall mean
a business entity, as may be notified by the Central Government in the Official
Gazette.'.
Amendment of 22. In section 48 of the Income-tax Act, in clause (ii), the following shall be inserted
section 48. with effect from the 1st day of April, 2024, namely:—
"Provided that the cost of acquisition of the asset or the cost of improvement
thereto shall not include the deductions claimed on the amount of interest under
clause (b) of section 24 or under the provisions of Chapter VIA.
Explanation 1.—For the removal of doubt, it is hereby clarified that the cost of
acquisition of a unit of a business trust shall be reduced and shall be deemed to have
always been reduced by any sum received by a unit holder from the business trust with
respect to such unit, which is not in the nature of income as referred to in clause (23FC)
or clause (23FCA) of section 10 and which is not chargeable to tax under clause (xii) of
sub-section (2) of section 56 and under sub-section (2) of section 115UA.
Explanation 2.—For the purposes of Explanation 1, it is clarified that where
transaction of transfer of a unit is not considered as transfer under section 47 and cost
of acquisition of such unit is determined under section 49, sum received with respect
to such unit before such transaction as well as after such transaction shall be reduced
from the cost of acquisition under the said Explanation;".
section 49.
(a) after sub-section (2AH), the following sub-section shall be inserted,
namely:—
"(2AI) Where the capital asset, being shares as referred to in clause (xx)
of section 47, became the property of the assessee, the cost of acquisition of
such asset shall be deemed to be the cost of acquisition to it of the interest in
the joint venture referred to in the said clause.";
(b) after sub-section (9), the following sub-section shall be inserted with effect
from the 1st day of April, 2024, namely:—
"(10) Where the capital asset, being—

(i) an Electronic Gold Receipt issued by a Vault Manager, became
the property of the person as consideration of a transfer, referred to in
clause (viid) of section 47, the cost of acquisition of the asset for the
purposes of the said transfer, shall be deemed to be the cost of gold in the
hands of the person in whose name Electronic Gold Receipt is issued;
(ii) gold released against an Electronic Gold Receipt, which became
the property of the person as consideration for a transfer, referred to in
clause (viid) of section 47, the cost of acquisition of the asset for the
purposes of the said transfer shall be deemed to be the cost of the
Electronic Gold Receipt in the hands of such person.".
24. After section 50A of the Income-tax Act, the following section shall be inserted Insertion of
with effect from the 1st day of April, 2024, namely:— new section
50AA.
'50AA. Notwithstanding anything contained in clause (42A) of section 2 or Special

section 48, where the capital asset is a unit of a Specified Mutual Fund acquired on or provision for
computation of
after the 1st day of April, 2023 or a Market Linked Debenture, the full value of capital gains in
consideration received or accruing as a result of the transfer or redemption or maturity case of Market
of such debenture or unit as reduced by— Linked
Debenture.
(i) the cost of acquisition of the debenture or unit; and
(ii) the expenditure incurred wholly and exclusively in connection with
such transfer or redemption or maturity,
shall be deemed to be the capital gains arising from the transfer of a short-term capital
asset:
Provided that no deduction shall be allowed in computing the income chargeable
under the head "Capital gains" in respect of any sum paid on account of securities
23 of 2004. transaction tax under the provisions of Chapter VII of the Finance (No. 2) Act, 2004.
Explanation.—For the purposes of this section—
(i) "Market Linked Debenture" means a security by whatever name called,
which has an underlying principal component in the form of a debt security and
where the returns are linked to market returns on other underlying securities or
indices and include any security classified or regulated as a Market Linked
Debenture by the Securities and Exchange Board of India;
(ii) "Specified Mutual Fund" means a Mutual Fund by whatever name
called, where not more than thirty five per cent. of its total proceeds is invested
in the equity shares of domestic companies:
Provided that the percentage of equity shareholding held in respect of the
Specified Mutual Fund shall be computed with reference to the annual average
of the daily closing figures.'.
25. In section 54 of the Income-tax Act, with effect from the 1st day of April, 2024,— Amendment of
section 54.
(a) in sub-section (1), after the second proviso, the following proviso shall be
"Provided also that where the cost of new asset exceeds ten crore rupees,
the amount exceeding ten crore rupees shall not be taken into account for the
purposes of this sub-section.";
(b) in sub-section (2),—
(i) after the words "amount so deposited shall", the words, brackets and
figure ", subject to the third proviso to sub-section (1)" shall be inserted;
(ii) after the proviso, the following proviso shall be inserted, namely:—
"Provided further that the capital gains in excess of ten crore rupees
shall not be taken into account for the purposes of this sub-section.".
Amendment of 26. In section 54EA of the Income-tax Act, sub-section (3) shall be omitted.
section 54EA.
Amendment of 27. In section 54EB of the Income-tax Act, sub-section (3) shall be omitted.
section 54EB.
Amendment of 28. In section 54EC of the Income-tax Act, in sub-section (3), clause (a) shall be
section 54EC. omitted.
Amendment of 29. In section 54ED of the Income-tax Act, in sub-section (3), clause (a) shall be
section 54ED. omitted.
Amendment of 30. In section 54F of the Income-tax Act, with effect from the 1st day of April, 2024,—
section 54F.
(a) in sub-section (1), after the proviso and before the Explanation, the following
proviso shall be inserted, namely:—
"Provided further that where the cost of new asset exceeds ten crore
rupees, the amount exceeding ten crore rupees shall not be taken into account
for the purposes of this sub-section.";
(b) in sub-section (4),—
(i) after the words "amount so deposited shall", the words, brackets and
figure ", subject to the second proviso to sub-section (1)" shall be inserted;
(ii) after the proviso, the following proviso shall be inserted, namely:—
"Provided further that the net consideration in excess of ten crore
rupees shall not be taken into account for the purposes of this
sub-section.".
Amendment of 31. In section 55 of the Income-tax Act, with effect from the 1st day of April, 2024,—
section 55.
(a) in sub-section (1), in clause (b), in sub-clause (1),—
(i) after the word "goodwill", the words "or any other intangible asset"
shall be inserted;
(ii) after the word "profession", the words "or any other right" shall be
inserted;
(b) in sub-section (2), in clause (a),—
(i) for the words "profession, or a right", the words "profession, or any
other intangible asset or a right" shall be substituted;
(ii) for the word "hours,", the words "hours, or any other right" shall be
substituted.
Amendment of 32. In section 56 of the Income-tax Act, in sub-section (2),—
section 56.
(a) in clause (viib),—
(i) with effect from the 1st day of April, 2024, the words ''being a resident''
shall be omitted;
(ii) in the Explanation, in clause (aa), after the words and figures ''Securities
and Exchange Board of India Act, 1992 or regulated under the'', the words, 15 of 1992.
brackets and figures ''International Financial Services Centre Authority (Fund
Management) Regulations, 2022 made under the'' shall be inserted;
(b) after clause (xi), with effect from the 1st day of April, 2024, the following
clauses shall be inserted, namely:—
'(xii) any specified sum received by a unit holder from a business trust
during the previous year, with respect to a unit held by him at any time during the
previous year.
Explanation.—For the purposes of this clause, ''specified sum'' shall be
computed in accordance with the following formula, namely:—
Specifed sum=A-B-C (which shall be deemed to be zero if sum of B and C

is greater than A), where—
A=aggregate of sum distributed by the business trust with respect to
such unit, during the previous year or during any earlier previous year or years,
to such unit holder, who holds such unit on the date of distribution of sum or to
any other unit holder who held such unit at any time prior to the date of such
distribution, which is,—
(a) not in the nature of income referred to in clause (23FC) or
clause (23FCA) of section 10; and
(b) not chargeable to tax under sub-section (2) of section 115UA;
B=amount at which such unit was issued by the business trust; and
C=amount charged to tax under this clause in any earlier previous year;';
(xiii) where any sum is received, including the amount allocated by way
of bonus, at any time during a previous year, under a life insurance policy, other
than the sum,—
(a) received under a unit linked insurance policy;
(b) being the income referred to in clause (iv),
which is not to be excluded from the total income of the previous year in
accordance with the provisions of clause (10D) of section 10, the sum so
received as exceeds the aggregate of the premium paid, during the term of such
life insurance policy, and not claimed as deduction under any other provision
of this Act, computed in such manner as may be prescribed.
Explanation.—For the purposes of this clause "unit linked insurance policy"
shall have the meaning assigned to it in Explanation 3 to clause (10D) of section 10.'.
33. In section 72A of the Income-tax Act, in sub-section (1), in clause (d), in the Amendment of
Explanation, for clause (iii), the following clause shall be substituted, namely:— section 72A.
'(iii) "strategic disinvestment" means sale of shareholding by the Central

Government or any State Government or a public sector company, in a public sector
company or in a company, which results in—
(a) reduction of its shareholding to below fifty-one per cent.; and
(b) transfer of control to the buyer:
Provided that the condition laid down in sub-clause (a) shall apply only
in a case where shareholding of the Central Government or the State Government
or the public sector company was above fifty-one per cent. before such sale of
shareholding:
Provided further that requirement of transfer of control referred to in
sub-clause (b) may be carried out by the Central Government or the State
Government or the public sector company or any two of them or all of them.'.
34. In section 72AA of the Income-tax Act,— Amendment of
section 72AA.
(a) for clause (i), the following clause shall be substituted, namely:—
"(i) one or more banking company with—
(a) any other banking institution under a scheme sanctioned and
brought into force by the Central Government under sub-section (7) of
10 of 1949. section 45 of the Banking Regulation Act, 1949; or
(b) any other banking institution or a company subsequent to a
strategic disinvestment, wherein the amalgamation is carried out within a
period of five years from the end of the previous year during which such
strategic disinvestment is carried out; or";
(b) in the long line, after the words "such banking institution or", the words
"company or" shall be inserted;
(c) in the Explanation, after clause (vi), the following clause shall be inserted,
namely:—
'(via) "strategic disinvestment" shall have the meaning assigned to it in
clause (iii) of the Explanation to clause (d) of sub-section (1) of section 72A;'.
Amendment of 35. In section 79 of the Income-tax Act, in sub-section (1), in the proviso, for the
section 79. word "seven", the word "ten" shall be substituted.
Amendment of 36. In section 80C of the Income-tax Act, sub-section (7) shall be omitted.
section 80C.
Amendment of 37. In section 80CCC of the Income-tax Act, in sub-section (3), clause (a) shall be
section 80CCC. omitted.
Amendment of 38. In section 80CCD of the Income-tax Act, in sub-section (4), clause (a) shall be
section 80CCD. omitted.
Insertion of 39. After section 80CCG of the Income-tax Act, the following section shall be inserted,
new namely:—
section 80CCH.
Deduction in '80CCH. (1) Where an assessee, being an individual enrolled in the Agnipath
respect of Scheme and subscribing to the Agniveer Corpus Fund on or after the 1st day of
contribution to
Agnipath
November, 2022, has in the previous year paid or deposited any amount in his account
Scheme. in the said Fund, he shall be allowed a deduction in the computation of his total
income, of the whole of the amount so paid or deposited.
(2) Where the Central Government makes any contribution to the account of an
assessee in the Agniveer Corpus Fund referred to in sub-section (1), the assessee
shall be allowed a deduction in the computation of his total income of the whole of the
amount so contributed.
Explanation.—For the purposes of this section,—
(a) "Agnipath Scheme" means the scheme for enrolment in Indian Armed
Forces introduced vide letter No.1(23)2022/D(Pay/Services), dated the
29th December, 2022 of the Government of India in the Ministry of Defence;
(b) "Agniveer Corpus Fund" means a fund in which consolidated
contributions of all the Agniveers and matching contributions of the Central
Government along with interest on both these contributions are held.'.
Amendment of 40. In section 80G of the Income-tax Act,—
section 80G.
(I) in sub-section (2), in clause (a), sub-clauses (ii), (iiic) and (iiid) shall be
omitted with effect from the 1st day of April, 2024;
(II) in sub-section (5),—
(A) with effect from the 1st day of October, 2023,—
(i) in the first proviso, for clause (iv), the following clause shall be
"(iv) in any other case, where activities of the institution or
fund have—
commencement of the previous year relevant to the
assessment year from which the said approval is sought;
(B) commenced and where no income or part thereof of
the said institution or fund has been excluded from the total
income on account of applicability of sub-clause (iv) or
sub-clause (v) or sub-clause (vi) or sub-clause (via) of
clause (23C) of section 10 or section 11 or section 12 for any

previous year ending on or before the date of such application,
at any time after the commencement of such activities:";
(ii) in the second proviso,—
(a) in clause (ii),—
(1) in the opening portion, after the word, brackets and

figures "clause (iii)", the words, brackets, letter and figures
"or sub-clause (B) of clause (iv)" shall be inserted;
(2) in sub-clause (b), for item (B), the following item

"(B) if he is not so satisfied, pass an order in

writing,—
(I) in a case referred to in clause (ii) or

clause (iii) of the first proviso, rejecting such
application and cancelling its approval; or
(II) in a case referred to in sub-clause (B) of

clause (iv) of the first proviso, rejecting such
application,
after affording it a reasonable opportunity of being

heard;";
(b) for clause (iii), the following clause shall be substituted,

namely:—
"(iii) where the application is made under

sub-clause (A) of clause (iv) of the said proviso or the
application is made under clause (iv) of the said proviso as it
stood immediately before its amendment vide the Finance
Act, 2023, pass an order in writing granting it approval
provisionally for a period of three years from the assessment
year from which the approval is sought;";
(B) in the third proviso, for the words "first proviso", the words "second
proviso" shall be substituted.
41. In section 80-IAC of the Income-tax Act, in the Explanation, in clause (ii), in Amendment of
sub-clause (a), for the figures "2023", the figures "2024" shall be substituted. section 80-IAC.
42. In section 80LA of the Income-tax Act, in sub-section (1), after clause (b), the Amendment of
following proviso shall be inserted, namely:— section 80LA.
''Provided that for the assessment year commencing on or after the 1st day of
April, 2023, the deduction under this clause shall be one hundred per cent. of such
income.''.

section 87.
(a) in sub-section (1), the figures and letters ", 88, 88A, 88B, 88C, 88D" shall be
omitted;
(b) in sub-section (2), the words, figures and letters "or section 88 or
section 88A or section 88B or section 88C or section 88D" shall be omitted.
Amendment of 44. In section 87A of the Income-tax Act, the following proviso shall be inserted with
section 87A. effect from the 1st day of April, 2024, namely:—
''Provided that where the total income of the assessee is chargeable to tax under
sub-section (1A) of section 115BAC, and the total income—
(a) does not exceed seven hundred thousand rupees, the assessee shall
be entitled to a deduction from the amount of income-tax (as computed before
allowing for the deductions under this Chapter) on his total income with which
he is chargeable for any assessment year, of an amount equal to one hundred per
cent. of such income-tax or an amount of twenty-five thousand rupees, whichever
is less;
(b) exceeds seven hundred thousand rupees and the income-tax payable
on such total income exceeds the amount by which the total income is in excess
of seven hundred thousand rupees, the assessee shall be entitled to a deduction
from the amount of income-tax (as computed before allowing the deductions
under this Chapter) on his total income, of an amount equal to the amount by
which the income-tax payable on such total income is in excess of the amount by
which the total income exceeds seven hundred thousand rupees.''.
Omission of 45. Section 88 of the Income-tax Act shall be omitted.

section 88.
Amendment of 46. In section 92BA of the Income-tax Act, after clause (va), the following clause
section 92BA. shall be inserted with effect from the 1st day of April, 2024, namely:—
"(vb) any business transacted between the assessee and other person as referred
to in sub-section (4) of section 115BAE;".
Amendment of 47. In section 92D of the Income-tax Act, in sub-section (3), for the words "period of
section 92D. thirty days" at both the places where they occur, the words "period of ten days" shall be
substituted.
Amendment of 48. In section 94B of the Income-tax Act, with effect from the 1st day of April, 2024,—
section 94B.
(i) in sub-section (3), after the words "banking or insurance", the words "or
such class of non-banking financial companies as may be notified by the Central
Government in the Official Gazette in this behalf" shall be inserted;
(ii) in sub-section (5), after clause (ii), the following clause shall be inserted,
namely:—
'(iia) "non-banking financial company" shall have the meaning assigned
to it in clause (vii) of the Explanation to clause (viia) of sub-section (1) of
section 36;'.
Amendment of 49. In section 111A of the Income-tax Act, sub-section (3) shall be omitted.
section 111A.
Amendment of 50. In section 112 of the Income-tax Act, sub-section (3) shall be omitted.
section 112.
Amendment of 51. In section 115A of the Income-tax Act, in sub-section (1), with effect from the
section 115A. 1st day of April, 2024,—
(i) in clause (a), in sub-clause (A), the following proviso shall be inserted,
namely:—
''Provided that the amount of income-tax calculated on the amount of
income by way of dividend received from a Unit in an International Financial
Services Centre, as referred to in sub-section (1A) of section 80LA, shall be ten
per cent.;";
(ii) in clause (b), in sub-clauses (A) and (B), for the word ''ten'', the word ''twenty''
shall be substituted.
52. In section 115BAC of the Income-tax Act,— Amendment of

section
(A) with effect from the 1st day of April, 2024,— 115BAC.
(a) in the marginal heading, for the words "and Hindu undivided family",
the words ", Hindu undivided family and others" shall be substituted;
(b) in sub-section (1), for the figures, letters and words "1st day of April,
2021", the figures, letters and words "1st day of April, 2021 but before the 1st
day of April, 2024" shall be substituted;
(c) after sub-section (1), the following sub-section shall be inserted,

namely:—
"(1A) Notwithstanding anything contained in this Act but subject

to the provisions of this Chapter, the income-tax payable in respect of the
total income of a person, being an individual or Hindu undivided family
or association of persons (other than a co-operative society), or body of
individuals, whether incorporated or not, or an artificial juridical person
referred to in sub-clause (vii) of clause (31) of section 2, other than a
person who has exercised an option under sub-section (6), for any previous
year relevant to the assessment year beginning on or after the 1st day of
April, 2024, shall be computed at the rate of tax given in the following
Table, namely:—
TABLE
Sl. No. Total income Rate of tax
(1) (2) (3)
1. Upto Rs.3,00,000 Nil
2. From Rs.3,00,001 to Rs.6,00,000 5 per cent.
6. Above Rs.15,00,000 30 per cent.";
(B) with effect from the 1st day of April, 2023, in sub-section (2), in clause (i),
after the words, figures and letters "section 80CCD or", the words, brackets, figures
and letters "sub-section (2) of section 80CCH or" shall be inserted;
(C) with effect from the 1st day of April, 2024,—
(a) in sub-section (2), for the opening portion and clause (i) thereof, the
following shall be substituted, namely:—
"(2) For the purposes of sub-section (1A), the total income of the
person referred to therein, shall be computed—
(i) without any exemption or deduction under the provisions

of clause (5) or clause (13A) or prescribed under clause (14) (other
than those as may be prescribed for this purpose) or clause (17) or

clause (32), of section 10 or section 10AA or clause (ii) or
clause (iii) of section 16 or clause (b) of section 24 [in respect of the
property referred to in sub-section (2) of section 23] or
clause (iia) of sub-section (1) of section 32 or section 32AD or
section 33AB or section 33ABA or sub-clause (ii) or
sub-clause (iia) or sub-clause (iii) of sub-section (1) or sub-section
(2AA) of section 35 or section 35AD or section 35CCC or under any
of the provisions of Chapter VI-A other than the provisions of
sub-section (2) of section 80CCD or sub-section (2) of
section 80CCH or section 80JJAA;";
(b) in sub-section (3), after the proviso, the following proviso shall be
"Provided further that in a case where,—
(i) the assessee has not exercised the option under

sub-section (5) for any previous year relevant to the assessment
year beginning on or before the 1st day of April, 2023;
(ii) the income-tax on the total income of the assessee is

computed under sub-section (1A); and
(iii) there is a depreciation allowance in respect of a block of

assets which has not been given full effect prior to the assessment
year beginning on the 1st day of April, 2024,
corresponding adjustment shall be made to the written down value of

such block of assets as on the 1st day of April, 2023 in the manner as may
be prescribed.";
(c) for sub-section (4), the following sub-section shall be substituted,

namely:—
'(4) In case of a person, having a Unit in the International Financial

Services Centre, as referred to in sub-section (1A) of section 80LA,—
(i) who has exercised option under sub-section (5) for any
previous year relevant to the assessment year beginning on or
after the 1st day of April, 2021 but before the 1st day of April, 2024;
(ii) whose total income is computed under sub-section (1A),
the conditions contained in sub-section (2) shall be modified to the extent

that the deduction under section 80LA shall be available to such Unit
subject to fulfilment of the conditions contained in the said section.
Explanation.—For the purposes of this sub-section, the term "Unit"

shall have the meaning assigned to it in clause (zc) of section 2 of the
Special Economic Zones Act, 2005.'; 28 of 2005.
(d) in sub-section (5), after the proviso, the following proviso shall be
"Provided further that the provisions of this sub-section shall not

apply for any previous year relevant to the assessment year beginning
on or after the 1st day of April, 2024.";
(e) after sub-section (5), the following sub-section shall be inserted,

namely:—
"(6) Nothing contained in sub-section (1A) shall apply to a person

where an option is exercised by such person, in the manner as may be
prescribed, for any assessment year, and such option is exercised,—
(i) on or before the due date specified under sub-section (1)

of section 139 for furnishing the return of income for such
assessment year, in case of a person having income from business
or profession, and such option once exercised shall apply to
subsequent assessment years; or
(ii) along with the return of income to be furnished under

sub-section (1) of section 139 for such assessment year, in case of
a person not having income referred to in clause (i):
Provided that the option under clause (i), once exercised for any
previous year can be withdrawn only once for a previous year other than
the year in which it was exercised and thereafter, the person shall never
be eligible to exercise the option under this sub-section, except where
such person ceases to have any income from business or profession in
which case, option under clause (ii) shall be available.".
53. In section 115BAD of the Income-tax Act, in sub-section (1), after the words Amendment of
"provisions of this Chapter,", the words, figures and letters "other than those mentioned section 115BAD.
under section 115BAE," shall be inserted with effect from the 1st day of April, 2024.
54. After section 115BAD of the Income-tax Act, with effect from the 1st day of Insertion of
April, 2024, the following section shall be inserted, namely:— new section
115BAE.
"115BAE. (1) Notwithstanding anything contained in this Act but subject to Tax on income
of certain new
the provisions of this Chapter, other than those mentioned under section 115BAD,
manufacturing
the income-tax payable in respect of the total income of an assessee, being a co-operative
co-operative society resident in India, for any previous year relevant to the assessment societies.
year beginning on or after the 1st day of April, 2024, shall, at the option of such
assessee, be computed at the rate of fifteen per cent. if the conditions contained in
sub-section (2) are satisfied:
Provided that where the total income of the assessee includes any income,
which has neither been derived from nor is incidental to, manufacturing or production
of an article or thing and in respect of which no specific rate of tax has been provided
separately under this Chapter, such income shall be taxed at the rate of twenty-two
per cent. and no deduction or allowance in respect of any expenditure or allowance
shall be made in computing such income:
Provided further that the income-tax payable in respect of the income, of the
assessee deemed so under the second proviso to sub-section (4) shall be computed
at the rate of thirty per cent.:
Provided also that the income-tax payable in respect of income, being short
term capital gains derived from transfer of a capital asset on which no depreciation is
allowable under the Act shall be computed at the rate of twenty-two per cent.:
Provided also that where the assessee fails to satisfy the conditions contained
in sub-section (2) in any previous year, the option shall become invalid in respect of
the assessment year relevant to that previous year and subsequent assessment years
and other provisions of the Act shall apply to the assessee as if the option had not
been exercised for the assessment year relevant to that previous year and subsequent
assessment years.
(2) For the purposes of sub-section (1), the following conditions shall apply,
namely:—
(a) the co-operative society has been set-up and registered on or after
the 1st day of April, 2023, and has commenced manufacturing or production of
an article or thing on or before the 31st day of March, 2024 and,—
(i) the business is not formed by splitting up, or the reconstruction,
of a business already in existence;
(ii) does not use any machinery or plant previously used for any
purpose.
Explanation 1.—For the purposes of sub-clause (ii), any machinery
or plant which was used outside India by any other person shall not be
regarded as machinery or plant previously used for any purpose, if the
following conditions are fulfilled, namely:—
(A) such machinery or plant was not, at any time previous to
the date of the installation, used in India;
(B) such machinery or plant is imported into India from any
country outside India; and
(C) no deduction on account of depreciation in respect of
such machinery or plant has been allowed or is allowable under the
provisions of this Act in computing the total income of any person
for any period prior to the date of installation of machinery or plant
by the person.
Explanation 2.—Where any machinery or plant or any part thereof
previously used for any purpose is put to use by the assessee and the
total value of such machinery or plant or part thereof does not exceed
twenty per cent. of the total value of the machinery or plant used by the
assessee, then, for the purposes of sub-clause (ii), the condition specified
therein shall be deemed to have been complied with;
(b) the assessee is not engaged in any business other than the business
of manufacture or production of any article or thing and research in relation to,
or distribution of, such article or thing manufactured or produced by it.
Explanation.—For the removal of doubts, it is hereby clarified that the
business of manufacture or production of any article or thing shall include the
business of generation of electricity, but not include a business of,—
(i) development of computer software in any form or in any media;
(ii) mining;
(iii) conversion of marble blocks or similar items into slabs;
(iv) bottling of gas into cylinder;
(v) printing of books or production of cinematograph film; or
(vi) any other business as may be notified by the Central Government
in this behalf;
(c) the total income of the assessee has been computed,—
(i) without any deduction under the provisions of section 10AA
or clause (iia) of sub-section (1) of section 32 or section 33AB or
section 33ABA or sub-clause (ii) or sub-clause (iia) or sub-clause (iii) of
sub-section (1) or sub-section (2AA) of section 35 or section 35AD or
section 35CCC or under any of the provisions of Chapter VI-A other than
the provisions of section 80JJAA;
(ii) without set off of any loss carried forward or depreciation from
any earlier assessment year, if such loss or depreciation is attributable to
any of the deductions referred to in clause (i); and
(iii) by claiming the depreciation, if any, under section 32, other

than clause (iia) of sub-section (1) of the said section, determined in
such manner as may be prescribed.
(3) The loss and depreciation referred to in sub-clause (ii) of clause (c) of
sub-section (2) shall be deemed to have been given full effect to and no further
deduction for such loss shall be allowed for any subsequent year.
(4) Where it appears to the Assessing Officer that, owing to the close connection
between the assessee to which this section applies and any other person, or for any
other reason, the course of business between them is so arranged that the business
transacted between them produces to the assessee more than the ordinary profits
which might be expected to arise in such business, the Assessing Officer shall, in
computing the profits and gains of such business for the purposes of this section,
take the amount of profits as may be reasonably deemed to have been derived
therefrom:
Provided that in case the aforesaid arrangement involves a specified domestic

transaction referred to in section 92BA, the amount of profits from such transaction
shall be determined having regard to arm's length price as defined in clause (ii) of
section 92F:
Provided further that the amount, being profits in excess of the amount of the
profits determined by the Assessing Officer, shall be deemed to be the income of the
assessee.
(5) Nothing contained in this section shall apply unless the option is exercised
by the person in the prescribed manner on or before the due date specified under
sub-section (1) of section 139 for furnishing the first of the returns of income for any
previous year relevant to the assessment year commencing on or after the 1st day of
April, 2024, and such option once exercised shall apply to subsequent assessment
years:
Provided that once the option has been exercised for any previous year shall
not be allowed to be withdrawn for the same or any other previous year.".
55. In section 115BB of the Income-tax Act, for the Explanation, the following shall Amendment of
be substituted with effect from the 1st day of April, 2024, namely:— section 115BB.
'Provided that nothing contained in this section shall apply to income by way
of winnings from any online game for the assessment year beginning on or after the
1st day of April, 2024.
(i) "horse race" shall have the meaning assigned to it in section 74A;
(ii) "online game" shall have the meaning assigned to it in section 115BBJ.'.
56. After section 115BBI of the Income-tax Act, the following section shall be inserted Insertion of
with effect from the 1st day of April, 2024, namely:— new section
115BBJ.
'115BBJ. Notwithstanding anything contained in any other provisions of this Tax on

Act, where the total income of an assessee includes any income by way of winnings winnings from
online games.
from any online game, the income-tax payable shall be the aggregate of—
(i) the amount of income-tax calculated on net winnings from such online
games during the previous year, computed in the manner as may be prescribed,
at the rate of thirty per cent.; and
(ii) the amount of income-tax with which the assessee would have been
chargeable had his total income been reduced by the net winnings referred to in
clause (i).
(i) "computer resource" shall have the same meaning as assigned to it in
clause (e) of the Explanation to section 144B;
(ii) "internet" means the combination of computer facilities and
electromagnetic transmission media, and related equipment and software,
comprising the interconnected worldwide network of computer networks that
transmits information based on a protocol for controlling such transmission;
(iii) "online game" means a game that is offered on the internet and is
accessible by a user through a computer resource including any
telecommunication device.'.
Amendment of 57. In section 115JC of the Income-tax Act, for sub-section (5), the following
section 115JC. sub-section shall be substituted with effect from the 1st day of April, 2024, namely:—
"(5) The provisions of this section shall not apply to a person, where—
(i) such person has exercised the option referred to in sub-section (5) of
section 115BAC or sub-section (5) of section 115BAD or sub-section (5) of
section 115BAE; or
(ii) income-tax payable in respect of the total income of such person is
computed under sub-section (1A) of section 115BAC.".
Amendment of 58. In section 115JD of the Income-tax Act, for sub-section (7), the following
section 115JD. sub-section shall be substituted with effect from the 1st day of April, 2024, namely:—
"(7) The provisions of this section shall not apply to a person, where—
(i) such person has exercised the option referred to in sub-section (5) of
section 115BAC or sub-section (5) of section 115BAD or sub-section (5) of
section 115BAE; or
(ii) income-tax payable in respect of the total income of such person is
computed under sub-section (1A) of section 115BAC.".
Amendment of 59. In section 115TD of the Income-tax Act,—
section 115TD.
(i) in sub-section (3),—
(a) in clause (ii), in sub-clause (b), for the word "rejected.", the words
"rejected; or" shall be substituted;
(b) after clause (ii), the following clause shall be inserted, namely:—
"(iii) it fails to make an application in accordance with the provisions
of clause (i) or clause (ii) or clause (iii) of the first proviso to clause (23C)
of section 10 or sub-clause (i) or sub-clause (ii) or sub-clause (iii) of
clause (ac) of sub-section (1) of section 12A, within the period specified
in the said clauses or sub-clauses, as the case may be, which expires in
the said previous year.";
(ii) in sub-section (5), in clause (ii), after the word, brackets and figures
"clause (ii)", the words, brackets and figures "clause (ii), or clause (iii)," shall be
inserted;
(iii) in the Explanation, in clause (i),—
(a) in sub-clause (b), after the word, brackets and figure
"sub-section (3);", the word "or" shall be inserted;
(b) after sub-clause (b), the following sub-clause shall be inserted,
namely:—
"(c) the last date for making an application for registration under
sub-clause (i) or sub-clause (ii) or sub-clause (iii) of clause (ac) of
sub-section (1) of section 12A or for making an application for approval
under clause (i) or clause (ii) or clause (iii) of the first proviso to
clause (23C) of section 10, as the case may be, in a case referred to in
clause (iii) of sub-section (3);".
60. In section 115UA of the Income-tax Act, after sub-section (3), the following Amendment of
sub-section shall be inserted with effect from the 1st day of April, 2024, namely:— section 115UA.
"(3A) The provisions of sub-section (1) shall not apply in respect of any sum
referred to in clause (xii) of sub-section (2) of section 56, received by a unit holder
from a business trust.".
61. In section 115UB of the Income-tax Act, in Explanation 1, in clause (a), after the Amendment of
15 of 1992. words and figures "Securities and Exchange Board of India Act, 1992 or", the words, brackets section 115UB.
and figures "regulated under the International Financial Services Centres Authority (Fund
Management) Regulations, 2022 made" shall be inserted.
62. In section 115VP of the Income-tax Act,— Amendment of
section 115VP.
(i) In sub-section (2), after the proviso, the following proviso shall be inserted,
namely:—
''Provided further that a Unit of an International Financial Services Centre
which has availed of deduction under section 80LA may make an application
within three months from the date on which such deduction ceases.";
(ii) after sub-section (5), the following Explanation shall be inserted, namely:—
'Explanation.—For the purposes of this section ''International Financial
Services Centre'' shall have the same meaning as assigned to it in clause (q) of
28 of 2005. section 2 of the Special Economic Zones Act, 2005.'.
63. In section 116 of the Income-tax Act, in clause (cca), after the words "Joint Amendment of
Commissioners of Income-tax", the words and brackets "or Joint Commissioners of section 116.
Income-tax (Appeals)" shall be inserted.
64. In section 119 of the Income-tax Act, for the words and brackets "the Commissioner Amendment of
(Appeals)" and "a Commissioner (Appeals)", the words and brackets "the Joint Commissioner section 119.
(Appeals) or the Commissioner (Appeals)" and "a Joint Commissioner (Appeals) or a
Commissioner (Appeals)" shall respectively be substituted.
65. In section 131 of the Income-tax Act, for the words and brackets ", Commissioner Amendment of
(Appeals)", the words and brackets ", Joint Commissioner (Appeals), Commissioner section 131.
(Appeals)" shall be substituted.
section 132.
(a) for sub-section (2), the following sub-section shall be substituted, namely:—
"(2) The authorised officer may requisition the services of,—
(i) any police officer or of any officer of the Central Government, or
of both; or
(ii) any person or entity as may be approved by the Principal Chief
Commissioner or the Chief Commissioner or the Principal Director General
or the Director General, in accordance with the procedure, as may be
prescribed, in this regard,
to assist him for all or any of the purposes specified in sub-section (1) or
sub-section (1A) and it shall be the duty of every such officer or person or
entity to comply with such requisition.";
(b) for sub-section (9D), the following sub-section shall be substituted,
namely:—
"(9D) The authorised officer may, during the course of the search or
seizure or within a period of sixty days from the date on which the last of the
authorisations for search was executed, make a reference to,—
(i) a Valuation Officer referred to in section 142A; or
(ii) any other person or entity or any valuer registered by or under
any law for the time being in force, as may be approved by the Principal
Chief Commissioner or the Chief Commissioner or the Principal Director
General or the Director General, in accordance with the procedure, as may
be prescribed, in this regard,
who shall estimate the fair market value of the property in the manner as may be
prescribed, and submit a report of the estimate to the authorised officer or the
Assessing Officer, as the case may be, within a period of sixty days from the
date of receipt of such reference.";
(c) for Explanation 1, the following Explanation shall be substituted and shall
be deemed to have been substituted with effect from the 1st day of April, 2022,
namely:—
"Explanation 1.—For the purposes of sub-sections (9A), (9B) and (9D),
the last of authorisation for search shall be deemed to have been executed,—
(a) in the case of search, on the conclusion of search as recorded in
the last panchnama drawn in relation to any person in whose case the
warrant of authorisation has been issued; or
(b) in the case of requisition under section 132A, on the actual
receipt of the books of account or other documents or assets by the
authorised officer.".
Amendment of 67. In section 133 of the Income-tax Act, for the words and brackets "the Commissioner
section 133. (Appeals)" wherever they occur, the words and brackets "the Joint Commissioner (Appeals)
or the Commissioner (Appeals)" shall be substituted.
Amendment of 68. In section 134 of the Income-tax Act, for the words and brackets "the Commissioner
section 134. (Appeals)" at both the places where they occur, the words and brackets "the Joint
Commissioner (Appeals) or the Commissioner (Appeals)" shall be substituted.
Amendment of 69. In section 135A of the Income-tax Act, in sub-section (2), after the proviso, the
section 135A. following proviso shall be inserted and shall be deemed to have been inserted with effect
"Provided further that the Central Government may amend any direction, issued
under this sub-section on or before the 31st day of March, 2022, by notification in the
Official Gazette.".
Amendment of 70. In section 140B of the Income-tax Act, in sub-section (4), with effect from the
section 140B. 1st day of April, 2022,—
(i) in the opening portion, the words "or, as the case may be, on the amount by
which the advance tax paid falls short of the assessed tax," shall be omitted and shall
be deemed to have been omitted;
(ii) in clause (a), in sub-clause (i), after the words "earlier return", the words
", if any" shall be inserted and shall be deemed to have been inserted.
section 142.
(a) for sub-section (2A), the following sub-section shall be substituted, namely:—
"(2A) If, at any stage of the proceedings before him, the Assessing Officer,
having regard to the nature and complexity of the accounts, volume of the
accounts, doubts about the correctness of the accounts, multiplicity of
transactions in the accounts or specialised nature of business activity of the
assessee, and the interests of the revenue, is of the opinion that it is necessary
so to do, he may, with the previous approval of the Principal Chief Commissioner
or Chief Commissioner or Principal Commissioner or Commissioner, direct the
assessee to get either or both of the following, namely:—
(i) to get the accounts audited by an accountant, as defined in the
Explanation below sub-section (2) of section 288, nominated by the
Principal Chief Commissioner or Chief Commissioner or Principal
Commissioner or Commissioner in this behalf and to furnish a report of
such audit in the prescribed form duly signed and verified by such
accountant and setting forth such particulars, as may be prescribed, and
such other particulars as the Assessing Officer may require;
(ii) to get the inventory valued by a cost accountant, nominated by

the Principal Chief Commissioner or Chief Commissioner or Principal
Commissioner or Commissioner in this behalf and to furnish a report of
such inventory valuation in the prescribed form duly signed and verified
by such cost accountant and setting forth such particulars, as may be
prescribed, and such other particulars as the Assessing Officer may
require:
Provided that the Assessing Officer shall not direct the assessee to
get the accounts so audited or inventory so valued unless the assessee
has been given a reasonable opportunity of being heard.";
(b) in sub-section (2D),—
(i) for the words, brackets, figure and letter "audit under sub-section (2A)
(including the remuneration of the accountant)", the words, brackets, figure
and letter "audit or inventory valuation under sub-section (2A) (including the
remuneration of the accountant or the cost accountant, as the case may be)"
(ii) in the proviso,—
(I) for the words "audit under", the words "audit or inventory
valuation under" shall be substituted;
(II) for the words and brackets "such audit (including remuneration
of the accountant)", the words and brackets "such audit or inventory
valuation (including the remuneration of the accountant or the cost
accountant, as the case may be)" shall be substituted;
(c) in sub-section (3), after the word "audit", the words "or inventory valuation"
shall be inserted;
(d) after sub-section (4), the following Explanation shall be inserted, namely:—
'Explanation.—For the purposes of this section, "cost accountant" means
a cost accountant as defined in clause (b) of sub-section (1) of section 2 of the
23 of 1959. Cost and Works Accountants Act, 1959 and who holds a valid certificate of
practice under sub-section (1) of section 6 of the said Act.'.
section 148.
(a) for the words "such period, as may be specified in such notice", the words
"a period of three months from the end of the month in which such notice is issued, or
such further period as may be allowed by the Assessing Officer on the basis of an
application made in this regard by the assessee" shall be substituted;
(b) after the second proviso and before Explanation 1, the following proviso
"Provided also that any return of income, required to be furnished by an
assessee under this section and furnished beyond the period allowed shall not
be deemed to be a return under section 139.".
73. In section 149 of the Income-tax Act, in sub-section (1),— Amendment of
section 149.
(I) after the second proviso, the following provisos shall be inserted, namely:—
"Provided also that for cases referred to in clauses (i), (iii) and (iv) of
Explanation 2 to section 148, where,—
(a) a search is initiated under section 132; or
(b) a search under section 132 for which the last of authorisations is
executed; or
(c) requisition is made under section 132A,
after the 15th day of March of any financial year and the period for issue of
notice under section 148 expires on the 31st day of March of such financial
year, a period of fifteen days shall be excluded for the purpose of computing the
period of limitation as per this section and the notice issued under section 148
in such case shall be deemed to have been issued on the 31st day of March of
such financial year:
Provided also that where the information as referred to in Explanation 1 to
section 148 emanates from a statement recorded or documents impounded under
section 131 or section 133A, as the case may be, on or before the 31st day of
March of a financial year, in consequence of,—
(a) a search under section 132 which is initiated; or
(b) a search under section 132 for which the last of authorisations is
executed; or
(c) a requisition made under section 132A,
after the 15th day of March of such financial year, a period of fifteen days shall
be excluded for the purpose of computing the period of limitation as per this
section and the notice issued under clause (b) of section 148A in such case
shall be deemed to have been issued on the 31st day of March of such financial
year:";
(II) in the sixth proviso, for the words "less than seven days", the words "does
not exceed seven days" shall be substituted.
section 151.
(a) in clause (ii), the words "where there is no Principal Chief Commissioner or
Principal Director General," shall be omitted;
(b) after clause (ii), the following proviso shall be inserted, namely:—
"Provided that the period of three years for the purposes of clause (i)
shall be computed after taking into account the period of limitation as excluded
by the third or fourth or fifth provisos or extended by the sixth proviso to
sub-section (1) of section 149.".
section 153.
(I) in sub-section (1),—
(a) in the third proviso, the words "or after" shall be omitted;
(b) after the third proviso, the following proviso shall be inserted, namely:—
"Provided also that in respect of an order of assessment relating to
the assessment year commencing on or after the 1st day of April, 2022,
the provisions of this sub-section shall have effect, as if for the words
"twenty-one months", the words "twelve months" had been substituted.";
(II) in sub-section (1A), for the words "nine months", the words "twelve months"
(III) in sub-section (3),—
(a) for the words, brackets and figures "sub-sections (1) and (2)", the
words, brackets, figures and letter "sub-sections (1), (1A) and (2)" shall be
substituted;
(b) for the words "Principal Commissioner or Commissioner" at both the
places where they occur, the words "Principal Chief Commissioner or Chief
Commissioner or Principal Commissioner or Commissioner, as the case may
be," shall be substituted;
(IV) after sub-section (3), the following sub-section shall be inserted, namely:—
"(3A) Notwithstanding anything contained in sub-sections (1), (1A), (2)
and (3), where an assessment or reassessment is pending on the date of initiation
of search under section 132 or making of requisition under section 132A, the
period available for completion of assessment or reassessment, as the case may

be, under the said sub-sections shall,—
(a) in a case where such search is initiated under section 132 or
such requisition is made under section 132A;
(b) in the case of an assessee, to whom any money, bullion, jewellery
or other valuable article or thing seized or requisitioned belongs to;
(c) in the case of an assessee, to whom any books of account or
documents seized or requisitioned pertains or pertain to, or any information
contained therein, relates to,
be extended by twelve months.";
(V) in sub-section (4), for the words, brackets and figures "sub-sections (1), (2)
and (3)" at both the places where they occur, the words, brackets, figures and letters
"sub-sections (1), (1A), (2), (3) and (3A)" shall be substituted;
(VI) in sub-section (5), for the words "the Principal Commissioner or
Commissioner", the words "the Principal Chief Commissioner or Chief Commissioner
or Principal Commissioner or Commissioner, as the case may be," shall be substituted;
(VII) in sub-section (6),—
(a) in the opening portion, for the words, brackets and figures
"sub-sections (1) and (2)", the words, brackets, figures and letter "sub-sections
(1), (1A) and (2)" shall be substituted;
(b) in clause (i), after the words "passed by the", the words "Principal
Chief Commissioner or Chief Commissioner or" shall be inserted;
(VIII) in Explanation 1,—
(a) in clause (iv),—
(i) in the opening portion, after the word "audited", the words "or
inventory valued" shall be inserted;
(ii) in sub-clause (a), after the words "such audit", the words "or
inventory valuation" shall be inserted;
(b) in the first proviso, for the word, brackets and figures
"sub-sections (1), (2)", the word, brackets, figures and letter "sub-sections (1),
(1A), (2)" shall be substituted.
76. In section 154 of the Income-tax Act, in sub-section (2), in clause (b), for the Amendment of
words and brackets "the Commissioner (Appeals)", the words and brackets "the Joint section 154.
section 155.
(a) in sub-section (11A), after the words, figures and letter "section 10A or" at
both the places where they occur, the words, figures and letters "section 10AA or"
shall be inserted with effect from the 1st day of April, 2024;
(b) after sub-section (18), the following sub-section shall be inserted, namely:—
"(19) Where any deduction in respect of any expenditure incurred for the
purchase of sugarcane has been claimed by an assessee, being a co-operative
society engaged in the business of manufacture of sugar, and such deduction
has been disallowed wholly or partly in any previous year commencing on or
before the 1st day of April, 2014, the Assessing Officer shall, on the basis of an
application made by such assessee in this regard, recompute the total income
of the assessee for such previous year after allowing deduction to the extent
such expenditure is incurred at a price which is equal to or less than the price
fixed or approved by the Government for that previous year, and the provisions
of section 154 shall, so far as may be, apply thereto, and the period of four years
specified in sub-section (7) of that section shall be reckoned from the end of
previous year commencing on the 1st day of April, 2022.";
(c) after sub-section (19) and before the Explanation, the following sub-section
shall be inserted with effect from the 1st day of October, 2023, namely:—
"(20) Where any income has been included in the return of income
furnished by an assessee under section 139 for any assessment year (herein
referred to as the relevant assessment year) and tax on such income has been
deducted at source and paid to the credit of the Central Government in accordance
with the provisions of Chapter XVII-B in a subsequent financial year, the
Assessing Officer shall, on an application made by the assessee in such form,
as may be prescribed, within a period of two years from the end of the financial
year in which such tax was deducted at source, amend the order of assessment
or any intimation allowing credit of such tax deducted at source in the relevant
assessment year, and the provisions of section 154 shall, so far as may be,
apply thereto and the period of four years specified in sub-section (7) of that
section shall be reckoned from the end of the financial year in which such tax
has been deducted:
Provided that the credit of such tax deducted at source shall not be
allowed in any other assessment year.".
Amendment of 78. In section 158A of the Income-tax Act, in the Explanation, for the words and
section 158A. brackets "the Commissioner (Appeals)", the words and brackets "the Joint Commissioner
(Appeals) or the Commissioner (Appeals)" shall be substituted.
Amendment of 79. In section 158AB of the Income-tax Act, for the words and brackets "the
section Commissioner (Appeals)" wherever they occur, the words and brackets "the Joint
158AB.
Substitution of 80. For section 170A of the Income-tax Act, the following section shall be substituted,
new section for namely:—
section 170A.
Effect of order '170A. (1) Notwithstanding anything to the contrary contained in section 139,
of tribunal or in a case of business reorganisation, where prior to the date of order of a High Court
court in respect or tribunal or an Adjudicating Authority as defined in clause (1) of section 5 of the
of business Insolvency and Bankruptcy Code, 2016 (hereinafter referred to as order in respect of 31 of 2016.
reorganisation.
business reorganisation), as the case may be, any return of income has been furnished
by an entity to which such order applies under the provisions of section 139 for any
assessment year relevant to the previous year to which such order applies, the
successor shall furnish, within a period of six months from the end of the month in
which the order was issued, a modified return in such form and manner, as may be
prescribed, in accordance with and limited to the said order.
(2) Where the assessment or reassessment proceedings for an assessment
year relevant to a previous year to which the order in respect of the business
reorganisation applies,—
(a) have been completed on the date of furnishing of the modified return
in accordance with the provisions of sub-section (1), the Assessing Officer
shall pass an order modifying the total income of the relevant assessment year
determined in such assessment or reassessment, in accordance with such order
and taking into account the modified return so furnished;
(b) are pending on the date of furnishing of the modified return in
accordance with the provisions of sub-section (1), the Assessing Officer shall
pass an order assessing or reassessing the total income of the relevant
assessment year in accordance with the order of the business reorganisation
and taking into account the modified return so furnished.
(3) Save as otherwise provided in this section, in an assessment or reassessment
made in respect of an assessment year under this section, all other provisions of this
Act shall apply and the tax shall be chargeable at the rate or rates as applicable to
such assessment year.
Explanation.—In this section, the expressions—
(i) "business reorganisation" means the reorganisation of business
involving the amalgamation or demerger or merger of business of one or more
persons;
(ii) "successor" means all resulting companies in a business

reorganisation, whether or not the company was in existence prior to such
business reorganisation.'.
81. In section 177 of the Income-tax Act, in sub-section (2), for the words and brackets Amendment of
"the Commissioner (Appeals)", the words and brackets "the Joint Commissioner (Appeals) section 177.
82. In section 189 of the Income-tax Act, in sub-section (2), for the words and brackets Amendment of
83. In section 192A of the Income-tax Act, the second proviso shall be omitted. Amendment of
section 192A.
84. In section 193 of the Income-tax Act, in the proviso, for clause (ix), the following Amendment of
clause shall be substituted, namely:— section 193.
'(ix) any interest payable to a "business trust", as defined in clause (13A) of

section 2, in respect of any securities, by a special purpose vehicle referred to in the
Explanation to clause (23FC) of section 10.'.
85. In section 194B of the Income-tax Act,— Amendment of
section 194B.
(i) for the marginal heading, the following marginal heading shall be substituted,
namely:—
"Winnings from lottery or crossword puzzle, etc.";
(ii) for the words "in an amount exceeding ten thousand rupees", the words
"or from gambling or betting of any form or nature whatsoever, being the amount or
the aggregate of amounts exceeding ten thousand rupees during the financial year"
(iii) after the proviso, the following shall be inserted, namely:—
'Provided further that nothing contained in this section shall apply to
deduction of income-tax on winnings from any online game on or after the
1st day of April, 2023.
Explanation.—For the purposes of this section,"online game" shall have
the meaning assigned to it in clause (iii) of the Explanation to section 115BBJ.'.
86. After section 194B of the Income-tax Act, the following section shall be inserted, Insertion of new
namely:— section 194BA.
'194BA. (1) Notwithstanding anything contained in any other provisions of Winnings from
this Act, any person responsible for paying to any person any income by way of online games.
winnings from any online game during the financial year shall deduct income-tax on
the net winnings in his user account, computed in the manner as may be prescribed,
at the end of the financial year at the rates in force:
Provided that in a case where there is a withdrawal from user account during the
financial year, the income-tax shall be deducted at the time of such withdrawal on the
net winnings comprised in such withdrawal, as well as on the remaining amount of net
winnings in the user account, computed in the manner as may be prescribed, at the
end of the financial year.
(2) In a case where the net winnings are wholly in kind or partly in cash, and
partly in kind but the part in cash is not sufficient to meet the liability of deduction of
tax in respect of whole of the net winnings, the person responsible for paying shall,
before releasing the winnings, ensure that tax has been paid in respect of the net
winnings.
(3) If any difficulty arises in giving effect to the provisions of this section, the
Board may, with the previous approval of the Central Government, issue guidelines
for the purposes of removing the difficulty.
(4) Every guideline issued by the Board under sub-section (3) shall, as soon
as may be after it is issued, be laid before each House of Parliament, and shall be
binding on the income-tax authorities and on the person liable to deduct income-tax.
Explanation.—For the purposes of this section—

(a) "computer resource", "internet" and "online game" shall have the
meanings respectively assigned to them in section 115BBJ;
(b) "online gaming intermediary" means an intermediary that offers one
or more online games;
(c) "user" means any person who accesses or avails any computer
resource of an online gaming intermediary;
(d) "user account" means account of a user registered with an online
gaming intermediary.'.
Amendment of 87. In section 194BB of the Income-tax Act, for the words "in an amount exceeding
section 194BB. ten thousand rupees", the words ", being the amount or aggregate of amounts exceeding
ten thousand rupees during the financial year," shall be substituted.
Amendment of 88. In section 194LC of the Income-tax Act, with effect from the 1st day of July, 2023,—
section 194LC.
(i) in sub-section (1), after the proviso, the following proviso shall be inserted,
namely:—
“Provided further that in case of income by way of interest referred to in
clause (ic) of sub-section (2), the income-tax shall be deducted at the rate of nine
per cent.”;
(ii) in sub-section (2),—
(I) in clause (ib), for the word “and”, the word “or” shall be substituted;
(II) after clause (ib), the following clause shall be inserted, namely:—
“(ic) in respect of money borrowed by it from a source outside India
by way of issuance of any long-term bond or rupee denominated bond on
or after the 1st day of July, 2023, which is listed only on a recognised stock
exchange located in an International Financial Services Centre; and”.
Amendment of 89. In section 194N of the Income-tax Act, after the second proviso, the following
section 194N. proviso shall be inserted, namely:—
'Provided also that where the recipient is a co-operative society, the provisions
of this section shall have effect, as if for the words "one crore rupees", the words
"three crore rupees" had been substituted.'.
Amendment of 90. In section 194R of the Income-tax Act, the Explanation shall be numbered as
section 194R. Explanation 1 thereof, and after Explanation 1 as so renumbered, the following Explanation
"Explanation 2.—For the removal of doubts, it is clarified that the provisions
of sub-section (1) shall apply to any benefit or perquisite, whether in cash or in kind
or partly in cash and partly in kind.".
Amendment of 91. In section 196A of the Income-tax Act, in sub-section (1), the following proviso
section 196A. shall be inserted, namely:—
"Provided that where an agreement referred to in sub-section (1) of section 90
or sub-section (1) of section 90A applies to the payee and if the payee has furnished
a certificate referred to in sub-section (4) of section 90 or sub-section (4) of
section 90A, as the case may be, then, income-tax thereon shall be deducted at the
rate of twenty per cent. or at the rate or rates of income-tax provided in such agreement
for such income, whichever is lower.".
Amendment of 92. In section 197 of the Income-tax Act, in sub-section (1), after the figures and
section 197. letters "194LA,", the figures and letters "194LBA," shall be inserted.
Amendment of 93. In section 206AB of the Income-tax Act,—
section 206AB.
(i) in sub-section (1), after the figures and letter "194B,", the figures and letters
"194BA," shall be inserted;
(ii) in sub-section (3), for the proviso, the following proviso shall be substituted,
namely:—
"Provided that the specified person shall not include—

(i) a non-resident who does not have a permanent establishment in
India; or
(ii) a person who is not required to furnish the return of income for the
assessment year relevant to the said previous year and is notified by the Central
Government in the Official Gazette in this behalf.".
94. In section 206C of the Income-tax Act, in sub-section (1G), with effect from the Amendment of
1st day of July, 2023,— section 206C.
(i) in clause (a), the words “out of India” at both the places where they occur
shall be omitted;
(ii) in the long line, for the word "five", the word "twenty" shall be substituted;
(iii) in the first proviso, for the words "and is for a purpose other than purchase
of overseas tour program package", the words "and is for the purposes of education
or medical treatment" shall be substituted;
(iv) in the second proviso, for the words "is for a purpose other than purchase
of overseas tour program package", the words "is for the purposes of education or
medical treatment" shall be substituted.
95. In section 206CC of the Income-tax Act, in sub-section (1), the following proviso Amendment of
shall be inserted with effect from the 1st day of July, 2023, namely:— section 206CC.
“Provided that the rate of tax collection at source under this section shall not
exceed twenty per cent.”.
96. In section 206CCA of the Income-tax Act,— Amendment of
section 206CCA.
(i) in sub-section (1), the following proviso shall be inserted with effect from the
1st day of July, 2023, namely:—
“Provided that the rate of tax collection at source under this section shall
not exceed twenty per cent.”;
(ii) in sub-section (3), for the proviso, the following proviso shall be
"Provided that the specified person shall not include—
(i) a non-resident who does not have a permanent establishment in
India; or
(ii) a person who is not required to furnish the return of income for
the assessment year relevant to the said previous year and is notified by
the Central Government in the Official Gazette in this behalf.".
97. In section 241A of the Income-tax Act, the following proviso shall be inserted, Amendment of
namely:— section 241A.
"Provided that the provisions of this section shall not apply from the 1st day of
April, 2023.".
98. In section 244A of the Income-tax Act,— Amendment of
section 244A.
(a) in sub-section (1), in clause (a), after sub-clause (ii), the following proviso
shall be inserted with effect from the1st day of October, 2023, namely:—
"Provided that where refund arises as a result of an order passed by the
Assessing Officer in consequence of an application made by the assessee
under sub-section (20) of section 155, such interest shall be calculated at the
rate of one-half per cent. for every month or part of a month comprised in the
period from the date of such application to the date on which the refund is
granted;";
(b) in sub-section (1A), the following proviso shall be inserted, namely:—
"Provided that where proceedings for assessment or reassessment are
pending in respect of an assessee, in computing the period for determining the
additional interest payable to such assessee under this sub-section, the period
beginning from the date on which such refund is withheld by the Assessing
Officer in accordance with and subject to provisions of sub-section (2) of

section 245 and ending with the date on which such assessment or reassessment
is made, shall be excluded.".
Substitution of 99. For section 245 of the Income-tax Act, the following section shall be substituted,
new section for namely:—
section 245.
Set off and "245. (1) Where under any of the provisions of this Act, a refund becomes due
withholding of or is found to be due to any person, the Assessing Officer or Commissioner or
refunds in Principal Commissioner or Chief Commissioner or Principal Chief Commissioner, as
certain cases.
the case may be, may, in lieu of payment of the refund, set off the amount to be
refunded or any part of that amount, against the sum, if any, remaining payable under
this Act by the person to whom the refund is due, after giving an intimation in writing
to such person of the action proposed to be taken under this sub-section.
(2) Where a part of the refund is set off under the provisions of sub-section (1),
or where no such amount is set off, and refund becomes due to a person, and the
Assessing Officer, having regard to the fact that proceedings for assessment or
reassessment are pending in the case of such person, is of the opinion that the grant
of refund is likely to adversely affect the revenue, he may, for reasons to be recorded
in writing and with the previous approval of the Principal Commissioner or the
Commissioner, as the case may be, withhold the refund up to the date on which such
assessment or reassessment is made.".
Amendment of 100. In section 245D of the Income-tax Act, in sub-section (9), for clause (iv), the
section 245D. following clause shall be substituted and shall be deemed to have been substituted with
effect from the 1st day of February, 2021, namely:—
"(iv) where the time-limit for amending any order or filing of rectification
application under sub-section (6B) expires on or after the 1st day of February, 2021,
but before the 1st day of February, 2022, such time-limit shall be extended to the
30th day of September, 2023.".
Amendment of 101. In section 245MA of the Income-tax Act, in sub-section (4), after the proviso,
section the following proviso shall be inserted, namely:—
245MA.
Official Gazette.".
Amendment of 102. In section 245R of the Income-tax Act, in sub-section (10), after the proviso, the
section 245R. following proviso shall be inserted, namely:—
Official Gazette.".
Amendment of 103. In Chapter XX of the Income-tax Act,—
Chapter XX.
(a) for the sub-heading "A.—Appeals to the Deputy Commissioner (Appeals)
and Commissioner (Appeals)", the sub-heading "A.—Appeals to the Joint
Commissioner (Appeals) and Commissioner (Appeals)" shall be substituted;
(b) for section 246, the following section shall be substituted, namely:—
Appealable '246. (1) Any assessee aggrieved by any of the following orders of an
orders before Assessing Officer (below the rank of Joint Commissioner) may appeal to the
Joint Joint Commissioner (Appeals) against—
Commissioner
(Appeals). (a) an order being an intimation under sub-section (1) of
section 143, where the assessee objects to the making of adjustments, or
any order of assessment under sub-section (3) of section 143 or
section 144, where the assessee objects to the amount of income assessed,
or to the amount of tax determined, or to the amount of loss computed, or
to the status under which he is assessed;
(b) an order of assessment, reassessment or recomputation under
section 147;
(c) an order being an intimation under sub-section (1) of
section 200A;
(d) an order under section 201;

(e) an order being an intimation under sub-section (6A) of
section 206C;
(f) an order under sub-section (1) of section 206CB;
(g) an order imposing a penalty under Chapter XXI; and
(h) an order under section 154 or section 155 amending any of the
orders mentioned in clauses (a) to (g):
Provided that no appeal shall be filed before the Joint Commissioner
(Appeals) if an order referred to in this sub-section is passed by or with the
prior approval of, an income-tax authority above the rank of Deputy
Commissioner.
(2) Where any appeal filed against an order referred to in sub-section (1)
is pending before the Commissioner (Appeals), the Board or an income-tax
authority so authorised by the Board in this regard, may transfer such appeal
and any matter arising out of or connected with such appeal and which is so
pending, to the Joint Commissioner (Appeals) who may proceed with such
appeal or matter, from the stage at which it was before, it was so transferred.
(3) Notwithstanding anything contained in sub-section (1) and
sub-section (2), the Board or an income-tax authority so authorised by the
Board in this regard, may transfer any appeal which is pending before a Joint
Commissioner (Appeals) and any matter arising out of or connected with such
appeal and which is so pending, to the Commissioner (Appeals) who may
proceed with such appeal or matter, from the stage at which it was before, it was
so transferred.
(4) Where an appeal is transferred under the provisions of sub-section (2)
or sub-section (3), the appellant shall be given an opportunity of being reheard.
(5) For the purposes of disposal of appeal by the Joint Commissioner
(Appeals), the Central Government may make a scheme, by notification in the
Official Gazette, so as to dispose of appeals in an expedient manner with
transparency and accountability, by eliminating the interface between the Joint
Commissioner (Appeals) and the appellant, in the course of appellate proceedings
to the extent technologically feasible and direct that any of the provisions of
this Act relating to jurisdiction and procedure for disposal of appeals by the
Joint Commissioner (Appeals), shall not apply or shall apply with such
exceptions, modifications and adaptations as may be specified in the notification.
(6) For the purposes of sub-section (1), the Board may specify that the
provisions of that sub-section shall not apply to any case or any class of cases.
Explanation.—For the purposes of this section, "status" means the
category under which the assessee is assessed as "individual", "Hindu
undivided family" and so on.'.
section 249.
(a) in sub-section (1), in the opening portion, after the figures, letters and
words "1st day of October, 1998", the words, brackets, figures and letters "or to the
Joint Commissioner (Appeals) on or after the 1st day of April, 2023," shall be inserted;
(b) in sub-section (3), for the words and brackets "Commissioner (Appeals)",
the words and brackets "Joint Commissioner (Appeals) or the Commissioner
(Appeals)" shall be substituted;
(c) in sub-section (4), in the proviso, for the words and brackets "Commissioner
(Appeals)", the words and brackets "Joint Commissioner (Appeals) or the
Commissioner (Appeals)" shall be substituted.
section 250.
(a) in sub-sections (1), (3), (4), (5), (6) and (7), for the words and brackets
"Commissioner (Appeals)" wherever they occur, the words and brackets "Joint
Commissioner (Appeals) or the Commissioner (Appeals)" shall be substituted;
(b) for sub-section (6A), the following sub-section shall be substituted, namely:—
"(6A) In every appeal, the Joint Commissioner (Appeals) or the
Commissioner (Appeals), as the case may be, where it is possible, may hear and
decide such appeal within a period of one year from the end of the financial year
in which such appeal is filed before him under sub-section (1) or transferred to
him under sub-section (2) or sub-section (3) of section 246 or filed before him
under sub-section (1) of section 246A, as the case may be.";
(c) in sub-section (6C), after the proviso, the following proviso shall be inserted
and shall be deemed to have been inserted with effect from the 1st day of April, 2022,
namely:—
"Provided further that the Central Government may amend any direction,
issued under this sub-section on or before the 31st day of March, 2022, by
notification in the Official Gazette.".
section 251.
(i) for the marginal heading, the following marginal heading "Powers of the
Joint Commissioner (Appeals) or the Commissioner (Appeals)." shall be substituted;
(ii) after sub-section (1), the following sub-section shall be inserted, namely:—
"(1A) In disposing of an appeal, the Joint Commissioner (Appeals) shall
have the following powers—
(a) in an appeal against an order of assessment, he may confirm,
reduce, enhance or annul the assessment;
(b) in an appeal against an order imposing a penalty, he may confirm
or cancel such order or vary it so as either to enhance or to reduce the
penalty;
(c) in any other case, he may pass such orders in the appeal as he
thinks fit.";
(iii) in sub-section (2), for the words and brackets "Commissioner (Appeals)",
the words and brackets "Joint Commissioner (Appeals) or the Commissioner
(Appeals), as the case may be," shall be substituted;
(iv) in the Explanation,—
(a) for the words and brackets "an appeal, the Commissioner (Appeals),",
the words and brackets "an appeal, the Joint Commissioner (Appeals) or the
Commissioner (Appeals)," shall be substituted;
(b) for the words and brackets "raised before the Commissioner
(Appeals)", the words and brackets "raised before the Joint Commissioner
(Appeals) or the Commissioner (Appeals), as the case may be," shall be
substituted.
section 253.
(a) in sub-section (1),—
(A) in clause (a), after the word, figures and letter "section 271A,", the
words, figures and letters "section 271AAB, section 271AAC, section 271AAD,"
shall be inserted;
(B) after clause (a), the following clause shall be inserted, namely:—
"(aa) an order passed by a Joint Commissioner (Appeals) under
section 154, section 250, section 270A, section 271, section 271A,
section 271AAC, section 271AAD or section 271J; or";
(C) for clause (c), the following clause shall be substituted, namely:—
"(c) an order passed by,—
(i) a Principal Commissioner or Commissioner under
section 12AA or section 12AB or under clause (vi) of sub-section (5)
of section 80G or under section 263 or under section 270A or under
section 271 or under section 272A or an order passed by him under
section 154 amending any such order; or
(ii) a Principal Chief Commissioner or Chief Commissioner or

a Principal Director General or Director General or a Principal Director
or Director under section 263 or under section 272A or an order
passed by him under section 154 amending any such order; or";
(b) in sub-section (2), for the words and brackets "Commissioner (Appeals)",
the words and brackets "the Joint Commissioner (Appeals) or the Commissioner
(c) in sub-section (4),—
(i) for the words and brackets "against the order of the Commissioner
(Appeals)", the words "against an order" shall be substituted;
(ii) for the words and brackets "any part of the order of the Commissioner
(Appeals)", the words "any part of such order" shall be substituted.
108. In section 264 of the Income-tax Act, in sub-section (4), for the words and Amendment of
brackets "the Commissioner (Appeals)" wherever they occur, the words and brackets section 264.
"the Joint Commissioner (Appeals) or the Commissioner (Appeals)" shall be substituted.
109. In section 267 of the Income-tax Act, for the words and brackets Amendment of
110. In section 269SS of the Income-tax Act,— Amendment of
section 269SS.
(a) after the second proviso and before the Explanation, the following proviso
'Provided also that the provisions of this section shall have effect, as if
for the words "twenty thousand rupees", the words "two lakh rupees" had
been substituted in the case of any deposit or loan where,—
(a) such deposit is accepted by a primary agricultural credit society
or a primary co-operative agricultural and rural development bank from
its member; or
(b) such loan is taken from a primary agricultural credit society or a
primary co-operative agricultural and rural development bank by its
member.';
(b) in the Explanation, for clause (ii), the following clause shall be substituted,
namely:—
'(ii) "co-operative bank", "primary agricultural credit society" and "primary
co-operative agricultural and rural development bank" shall have the meanings
respectively assigned to them in the Explanation to sub-section (4) of
section 80P;'.
111. In section 269T of the Income-tax Act,— Amendment of
section 269T.
(a) after the second proviso and before the Explanation, the following proviso
'Provided also that the provisions of this section shall have effect, as if
for the words "twenty thousand rupees", the words "two lakh rupees" had
been substituted in the case of any deposit or loan where,—
(a) such deposit is paid by a primary agricultural credit society or a
primary co-operative agricultural and rural development bank to its
member; or
(b) such loan is repaid to a primary agricultural credit society or a
primary co-operative agricultural and rural development bank by its
member.';
(b) in the Explanation, for clause (ii), the following clause shall be substituted,
namely:—
'(ii) "co-operative bank", "primary agricultural credit society" and "primary
co-operative agricultural and rural development bank" shall have the meanings
respectively assigned to them in Explanation to sub-section (4) of
section 80P;'.
Amendment of 112. In section 270A of the Income-tax Act, for the words and brackets "the
section 270A. Commissioner (Appeals)" wherever they occur, the words and brackets "the Joint
Amendment of 113. In section 270AA of the Income-tax Act, in sub-section (6), after the words
section 270AA. "No appeal under", the words and figures "section 246 or" shall be inserted.
Amendment of 114. In section 271 of the Income-tax Act, for the words and brackets "the
section 271. Commissioner (Appeals)" wherever they occur, the words and brackets "the Joint
Amendment of 115. In section 271A of the Income-tax Act, for the words and brackets "the
section 271A. Commissioner (Appeals)", the words and brackets "the Joint Commissioner (Appeals) or
the Commissioner (Appeals)" shall be substituted.
Amendment of 116. In section 271AAC of the Income-tax Act, for the words and brackets "the
section 271AAC. Commissioner (Appeals)", the words and brackets "the Joint Commissioner (Appeals) or
the Commissioner (Appeals)" shall be substituted.
Amendment of 117. In section 271AAD of the Income-tax Act, for the words and brackets "the
section 271AAD. Commissioner (Appeals)" at both the places where they occur, the words and brackets "the
Joint Commissioner (Appeals) or the Commissioner (Appeals)" shall be substituted.
Amendment of 118. In section 271C of the Income-tax Act, in sub-section (1),—
section 271C.
(A) in clause (b),—
(I) for the words "pay the whole", the words "pay or ensure payment of,
the whole" shall be substituted;
(II) in sub-clause (i), the word "or" shall be omitted;
(III) after sub-clause (ii), the following sub-clauses shall be inserted,
namely:—
"(iii) the first proviso to sub-section (1) of section 194R; or
(iv) the proviso to sub-section (1) of section 194S; or";
(IV) after sub-clause (iv) as inserted by the Finance Act, 2023, the following
sub-clause shall be inserted with effect from the 1st day of July, 2023, namely:—
"(v) sub-section (2) of section 194BA,";
(B) in the long line, after the words "deduct or pay", the words "or ensure
payment of," shall be inserted.
Amendment of 119. Section 271FAA of the Income-tax Act shall be numbered as sub-section (1)
section 271FAA. thereof and in sub-section (1) as so renumbered, for the long line, the following shall be
"then, the prescribed income-tax authority under sub-section (1) of section 285BA
may direct that such person shall pay, by way of penalty, a sum of fifty thousand
rupees.
(2) Where in the case of a person, referred to in clause (k) of sub-section (1) of
section 285BA, who is required to furnish a statement under that section (herein
referred to as the reporting financial institution) provides inaccurate information in
the statement and the inaccuracy in such statement is due to false or inaccurate
information furnished by the holder or holders of the relevant reportable account or
accounts, the prescribed income-tax authority under sub-section (1) of section 285BA,
shall direct that the reporting financial institution shall, in addition to the penalty
under sub-section (1), if any, pay a sum of five thousand rupees for every inaccurate
reportable account and the reporting financial institution shall be entitled to recover
the sum so paid on behalf of such reportable account holder, or to retain out of any
moneys that may be in its possession, or may come to it from every such reportable
account holder, an amount equal to the sum so paid.".
120. In section 271J of the Income-tax Act, for the words and brackets "the Amendment of
Commissioner (Appeals)" at both the places where they occur, the words and brackets "the section 271J.
Joint Commissioner (Appeals) or the Commissioner (Appeals)" shall be substituted.
121. In section 274 of the Income-tax Act, in sub-section (2B), after the proviso, the Amendment of
following proviso shall be inserted and shall be deemed to have been inserted with effect section 274.

Official Gazette.".
section 275.
(a) for the words and brackets "the Commissioner (Appeals)" wherever they
occur, the words and brackets "the Joint Commissioner (Appeals) or the Commissioner
(b) for the words and brackets "to the Commissioner (Appeals)" wherever
they occur, the words and brackets "to the Joint Commissioner (Appeals) or to the
Commissioner (Appeals)" shall be substituted.
123. In section 276A of the Income-tax Act, after the proviso, the following proviso Amendment of
shall be inserted, namely:— section 276A.
"Provided further that no proceeding shall be initiated under this section on or

after the 1st day of April, 2023.".
124. In section 276B of the Income-tax Act,— Amendment of
section 276B.
(A) in the opening portion, the words "pay to the credit of the Central
Government" shall be omitted;
(B) in clause (a), for the words "the tax deducted", the words "pay to the credit
of the Central Government, the tax deducted" shall be substituted;
(C) for clause (b), the following clause shall be substituted, namely:—
'(b) pay tax or ensure payment of tax to the credit of the Central
Government, as required by or under—
(i) sub-section (2) of section 115-O;
(ii) the proviso to section 194B;
(iii) the first proviso to sub-section (1) of section 194R;
(iv) the proviso to sub-section (1) of section 194S; or';
(D) after sub-clause (iv) of clause (b) as substituted by the Finance Act, 2023,
the following sub-clause shall be inserted with effect from the 1st day of July, 2023,
namely:—
"(v) sub-section (2) of section 194BA,".
125. In section 279 of the Income-tax Act, in sub-section (1), for the words and Amendment of
brackets "or Commissioner (Appeals)", the words and brackets "or Joint Commissioner section 279.
(Appeals) or Commissioner (Appeals)" shall be substituted.
Amendment of 126. In section 287 of the Income-tax Act, in sub-section (2), for the words and
section 287. brackets "to the Commissioner (Appeals)", the words and brackets "to the Joint
Commissioner (Appeals) or to the Commissioner (Appeals)" shall be substituted.
Amendment of 127. In section 295 of the Income-tax Act, in sub-section (2),—
section 295.
(i) in clause (eec), after the word "audit", the words "or inventory valuation"
shall be inserted;
(ii) in clause (mm), for the words and brackets "the Commissioner (Appeals)",
the words and brackets "the Joint Commissioner (Appeals) or the Commissioner
(Appeals)" shall be substituted.
CHAPTER IV
INDIRECT TAXES
Customs
Amendment of 128. In the Customs Act, 1962 (hereinafter referred to as the Customs Act), in 52 of 1962.
section 25. section 25, in sub-section (4A), after the proviso, the following proviso shall be inserted,
namely:—
"Provided further that nothing contained in this sub-section shall apply to any
such exemption granted to, or in relation to,—
(a) any multilateral or bilateral trade agreement;
(b) obligations under international agreements, treaties, conventions or
such other obligations including with respect to United Nations agencies,
diplomats and international organisations;
(c) privileges of constitutional authorities;
(d) schemes under the Foreign Trade Policy;
(e) the Central Government schemes having validity of more than two
years;
(f) re-imports, temporary imports, goods imported as gifts or personal
baggage;
(g) any duty of customs under any law for the time being in force, including
integrated tax leviable under sub-section (7) of section 3 of the Customs Tariff
Act, 1975, other than duty of customs leviable under section 12.". 51 of 1975.
Amendment of 129. In the Customs Act, in section 65, in sub-section (1), for the words "subject to",
section 65. the words, figures and letter "subject to the provisions of section 65A and" shall be
substituted.
Insertion of 130. After section 65 of the Customs Act, the following section shall be inserted,
new section namely:—
65A.
Goods brought '65A. (1) Notwithstanding anything to the contrary contained in this Act or the
for operations Customs Tariff Act, 1975, the following provisions shall, with effect from such date as 51 of 1975.
in warehouse
to have
may be notified by the Central Government, apply to goods in relation to which any
ordinarily paid manufacturing process or other operations in terms of section 65 may be carried out,
certain taxes. namely:—
(A) the dutiable goods, which are deposited in the warehouse shall be
goods on which the integrated tax under sub-section (7) and the goods and
services tax compensation cess under sub-section (9), of section 3 of the
Customs Tariff Act, 1975 have been paid, and only for the purpose of the duty 51 of 1975.
payable, other than the said tax and cess paid, such dutiable goods shall be
warehoused goods;
(B) the dutiable goods shall be permitted to be removed for the purpose
of deposit in the warehouse, where—
(i) in respect of the goods, an entry thereof has been made by
presenting electronically on the customs automated system, a bill of entry
for home consumption under section 46 and the goods have been assessed
to duty under section 17 or section 18, as the case may be, in accordance
with clause (a) of sub-section (1) of section 15;
(ii) the integrated tax under sub-section (7) and the goods and
services tax compensation cess under sub-section (9), of section 3 of the
51 of 1975. Customs Tariff Act, 1975 have been paid in accordance with section 47;
(iii) on removal of the goods from another warehouse in terms of
section 67, a bill of entry for home consumption under clause (a) of
section 68 has been presented and the integrated tax under
sub-section (7), and the goods and services tax compensation cess under
51 of 1975. sub-section (9), of section 3 of the Customs Tariff Act, 1975 have been
paid before the goods are so removed from that other warehouse;
(iv) the provisions of section 59, subject to the following
modifications therein, have been complied with, namely:—
(a) for the words "bill of entry for warehousing", the words
"bill of entry for home consumption" shall be substituted; and
(b) for the words "amount of the duty assessed", the words
"amount of duty assessed, but not paid" shall be substituted;
(C) the duty payable in respect of warehoused goods referred to in
clause (A), to the extent not paid, is paid before the goods are removed from the
warehouse in such manner as may be prescribed.
(2) The provisions of sub-section (1) shall not apply for the purpose of
manufacturing process or other operations in terms of section 65 to dutiable goods
which have been deposited in the warehouse or permitted to be removed for deposit
in the warehouse prior to the date notified under that sub-section.
(3) The Central Government may, if it considers necessary or expedient, and
having regard to such criteria, including but not limited to, the nature or class or
categories of goods, or class of importers or exporters, or industry sector, exempt, by
notification, such goods in relation to which any manufacturing process or other
operations in terms of section 65 may be carried out, as may be specified in the
notification, from the application of this section.'.
131. In the Customs Act, in section 127C, after sub-section (8), the following Amendment of
sub-section shall be inserted, namely:— section 127C.
"(8A) The order under sub-section (5) shall be passed within a period of nine
months from the last day of the month in which the application under section 127B is
made, and if, no order is passed within the said period, the settlement proceedings
shall abate, and the adjudicating authority before whom the proceeding at the time of
making the application was pending shall dispose of the application in accordance
with the provisions of this Act as if no application under the said section had been
made:
Provided that the period specified under this sub-section may, for reasons to be
recorded in writing, be extended by the Settlement Commission for a further period
not exceeding three months:
Provided further that in respect of any application pending under sub-section (5)
as on the date on which the Finance Bill, 2023 receives the assent of the President, the
said period of nine months shall be reckoned from the date on which the said Finance
Bill receives the assent of the President.".
Amendment of 132. In the Customs Act, in section 157, in sub-section (2), after clause (c), the
section 157. following clause shall be inserted, namely:—
"(ca) the manner and conditions for payment of duty and removal of goods
under clause (C) of sub-section (1) of section 65A;".
Amendment of 133. In the Customs Act, in section 159, after the figures "43,", the figures and letter
section 159. "65A," shall be inserted.
Customs tariff
Amendment of 134. In the Customs Tariff Act, 1975, (hereinafter referred to as the Customs Tariff 51 of 1975.
sections 9, 9A Act), with effect from the 1st day of January, 1995,—
and 9C.
(i) in section 9,—
(a) in sub-section (6), in the first proviso, for the words "in a review", the
words "on consideration of a review" shall be substituted;
(b) in sub-section (7), the words "and determined" shall be omitted;
(ii) in section 9A,—
(a) in sub-section (5), in the first proviso, for the words "in a review", the
words "on consideration of a review" shall be substituted;
(b) in sub-section (6), the words "and determined" shall be omitted;
(iii) in section 9C,—
(a) in sub-section (1), the words "order of" shall be omitted;
(b) in sub-section (2), for the word "order", the words "determination or
review" shall be substituted;
(c) in sub-section (3), for the word "order", the words "determination or
review" shall be substituted;
(d) after sub-section (5), the following Explanation shall be inserted,
namely:—
'Explanation.—For the purposes of this section, "determination"
or "review" means the determination or review done in such manner as
may be specified in the rules made under sections 8B, 9, 9A and 9B.'.
Amendment of 135. In the Customs Tariff Act, the First Schedule shall—
First Schedule.
(a) be amended in the manner specified in the Second Schedule;
(b) be also amended in the manner specified in the Third Schedule;
(c) with effect from the 1st May, 2023, be also amended in the manner specified
in the Fourth Schedule;
(d) with effect from the 1st April, 2023, be also amended in the manner specified
in the Seventh Schedule;
Amendment of 136. In the Customs Tariff Act, the Second Schedule shall, with effect from the
Second 1st May, 2023, be amended in the manner specified in the Fifth Schedule.
Schedule.
Central Goods and Services Tax
Amendment of 137. In the Central Goods and Services Tax Act, 2017 (hereinafter referred to as the 12 of 2017.
section 10. Central Goods and Services Tax Act), in section 10,—
(a) in sub-section (2), in clause (d), the words "goods or" shall be omitted;
(b) in sub-section (2A), in clause (c), the words "goods or" shall be omitted.
Amendment of 138. In section 16 of the Central Goods and Services Tax Act, in sub-section (2),—
section 16.
(i) in the second proviso, for the words "added to his output tax liability, along
with interest thereon", the words and figures "paid by him along with interest payable
under section 50" shall be substituted;
(ii) in the third proviso, after the words "made by him", the words "to the
supplier" shall be inserted.
139. In section 17 of the Central Goods and Services Tax Act,— Amendment of
section 17.
(a) in sub-section (3), in the Explanation, for the words and figure "except
those specified in paragraph 5 of the said Schedule", the following shall be substituted,
namely:—
"except,—
(i) the value of activities or transactions specified in paragraph 5 of
the said Schedule; and
(ii) the value of such activities or transactions as may be prescribed
in respect of clause (a) of paragraph 8 of the said Schedule.";
(b) in sub-section (5), after clause (f), the following clause shall be inserted,
namely:—
"(fa) goods or services or both received by a taxable person, which are
used or intended to be used for activities relating to his obligations under
corporate social responsibility referred to in section 135 of the Companies
18 of 2013. Act, 2013;".
140. In section 23 of the Central Goods and Services Tax Act, for sub-section (2), the Amendment of
following sub-section shall be substituted and shall be deemed to have been substituted section 23.
with effect from the 1st day of July, 2017, namely:—
"(2) Notwithstanding anything to the contrary contained in sub-section (1) of
section 22 or section 24, the Government may, on the recommendations of the Council,
by notification, subject to such conditions and restrictions as may be specified therein,
specify the category of persons who may be exempted from obtaining registration
under this Act.".
141. In section 30 of the Central Goods and Services Tax Act, in sub-section (1),— Amendment of
section 30.
(a) for the words "the prescribed manner within thirty days from the date of
service of the cancellation order:", the words "such manner, within such time and
subject to such conditions and restrictions, as may be prescribed." shall be substituted;
(b) the proviso shall be omitted.
142. In section 37 of the Central Goods and Services Tax Act, after sub-section (4), Amendment of
the following sub-section shall be inserted, namely:— section 37.
"(5) A registered person shall not be allowed to furnish the details of outward
supplies under sub-section (1) for a tax period after the expiry of a period of three
years from the due date of furnishing the said details:
Provided that the Government may, on the recommendations of the Council, by
notification, subject to such conditions and restrictions as may be specified therein,
allow a registered person or a class of registered persons to furnish the details of
outward supplies for a tax period under sub-section (1), even after the expiry of the
said period of three years from the due date of furnishing the said details.".
143. In section 39 of the Central Goods and Services Tax Act, after sub-section (10), Amendment of
"(11) A registered person shall not be allowed to furnish a return for a tax period
after the expiry of a period of three years from the due date of furnishing the said
return:
allow a registered person or a class of registered persons to furnish the return for a tax
period, even after the expiry of the said period of three years from the due date of
furnishing the said return.".
Amendment of 144. Section 44 of the Central Goods and Services Tax Act shall be renumbered as
section 44. sub-section (1) thereof, and after sub-section (1) as so renumbered, the following
sub-section shall be inserted, namely:—
"(2) A registered person shall not be allowed to furnish an annual return under
sub-section (1) for a financial year after the expiry of a period of three years from the
due date of furnishing the said annual return:
notification, and subject to such conditions and restrictions as may be specified
therein, allow a registered person or a class of registered persons to furnish an annual
return for a financial year under sub-section (1), even after the expiry of the said
period of three years from the due date of furnishing the said annual return.".
Amendment of 145. In section 52 of the Central Goods and Services Tax Act, after sub-section (14),
section 52. the following sub-section shall be inserted, namely:—
"(15) The operator shall not be allowed to furnish a statement under
sub-section (4) after the expiry of a period of three years from the due date of furnishing
the said statement:
allow an operator or a class of operators to furnish a statement under sub-section (4),
even after the expiry of the said period of three years from the due date of furnishing
the said statement.".
Amendment of 146. In section 54 of the Central Goods and Services Tax Act, in sub-section (6), the
section 54. words "excluding the amount of input tax credit provisionally accepted," shall be omitted.
Amendment of 147. In section 56 of the Central Goods and Services Tax Act, for the words "from the
section 56. date immediately after the expiry of sixty days from the date of receipt of application under
the said sub-section till the date of refund of such tax", the words "for the period of delay
beyond sixty days from the date of receipt of such application till the date of refund of such
tax, to be computed in such manner and subject to such conditions and restrictions as may
be prescribed" shall be substituted.
Amendment of 148. In section 62 of the Central Goods and Services Tax Act, in sub-section (2),—
section 62.
(a) for the words "thirty days", the words "sixty days" shall be substituted;
(b) the following proviso shall be inserted, namely:—
"Provided that where the registered person fails to furnish a valid return
within sixty days of the service of the assessment order under sub-section (1),
he may furnish the same within a further period of sixty days on payment of an
additional late fee of one hundred rupees for each day of delay beyond sixty
days of the service of the said assessment order and in case he furnishes valid
return within such extended period, the said assessment order shall be deemed
to have been withdrawn, but the liability to pay interest under sub-section (1)
of section 50 or to pay late fee under section 47 shall continue.".
Substitution of 149. For section 109 of the Central Goods and Services Tax Act, the following section
section 109. shall be substituted, namely:—
Constitution of "109. (1) The Government shall, on the recommendations of the Council, by
Appellate notification, establish with effect from such date as may be specified therein, an
Tribunal and
Benches
Appellate Tribunal known as the Goods and Services Tax Appellate Tribunal for
thereof. hearing appeals against the orders passed by the Appellate Authority or the Revisional
Authority.
(2) The jurisdiction, powers and authority conferred on the Appellate Tribunal
shall be exercised by the Principal Bench and the State Benches constituted under
sub-section (3) and sub-section (4).
(3) The Government shall, by notification, constitute a Principal Bench of the

Appellate Tribunal at New Delhi which shall consist of the President, a Judicial
Member, a Technical Member (Centre) and a Technical Member (State).
(4) On the request of the State, the Government may, by notification, constitute
such number of State Benches at such places and with such jurisdiction as may be
recommended by the Council, which shall consist of two Judical Members, a Technial
Member (Centre) and a Technical Member (State).
(5) The Principal Bench and the State Bench shall hear appeals against the
orders passed by the Appellate Authority or the Revisional Authority:
Provided that the cases in which any one of the issues involved relates to the
place of supply, shall be heard only by the Principal Bench.
(6) The President shall, from time to time, by a general or special order, distribute
the business of the Appellate Tribunal among the Benches and may transfer cases
from one Bench to another.
(7) The senior-most Judicial Member within the State Benches, as may be notified,
shall act as the Vice-President for such State Benches and shall exercise such powers
of the President as may be prescribed, but for all other purposes be considered as a
Member.
(8) Appeals, where the tax or input tax credit involved or the amount of fine, fee
or penalty determined in any order appealed against, does not exceed fifty lakh rupees
and which does not involve any question of law may, with the approval of the
President, and subject to such conditions as may be prescribed on the recommendations
of the Council, be heard by a single Member, and in all other cases, shall be heard
together by one Judicial Member and one Technical Member.
(9) If, after hearing the case, the Members differ in their opinion on any point or
points, such Member shall state the point or points on which they differ, and the
President shall refer such case for hearing,—
(a) where the appeal was originally heard by Members of a State Bench,
to another Member of a State Bench within the State or, where no such other
State Bench is available within the State, to a Member of a State Bench in
another State;
(b) where the appeal was originally heard by Members of the Principal
Bench, to another Member from the Principal Bench or, where no such other
Member is available, to a Member of any State Bench,
and such point or points shall be decided according to the majority opinion including the
opinion of the Members who first heard the case.
(10) The Government may, in consultation with the President, for the
administrative efficiency, transfer Members from one Bench to another Bench:
Provided that a Technical Member (State) of a State Bench may be transferred
to a State Bench only of the same State in which he was originally appointed, in
consultation with the State Government.
(11) No act or proceedings of the Appellate Tribunal shall be questioned or
shall be invalid merely on the ground of the existence of any vacancy or defect in the
constitution of the Appellate Tribunal.".
150. For section 110 of the Central Goods and Services Tax Act, the following section Substitution of
shall be substituted, namely:— new section for
section 110.
"110. (1) A person shall not be qualified for appointment as— President and
Members of
(a) the President, unless he has been a Judge of the Supreme Court or is Appellate
or has been the Chief Justice of a High Court; Tribunal, their
qualification,
(b) a Judicial Member, unless he— appointment,
conditions of
(i) has been a Judge of the High Court; or service, etc.
(ii) has, for a combined period of ten years, been a District Judge or
an Additional District Judge;
(c) a Technical Member (Centre), unless he is or has been a member of
the Indian Revenue (Customs and Indirect Taxes) Service, Group A, or of the All
India Service with at least three years of experience in the administration of an
existing law or goods and services tax in the Central Government, and has
completed at least twenty-five years of service in Group A;
(d) a Technical Member (State), unless he is or has been an officer of the
State Government or an officer of All India Service, not below the rank of
Additional Commissioner of Value Added Tax or the State goods and services
tax or such rank, not lower than that of the First Appellate Authority, as may be
notified by the concerned State Government, on the recommendations of the
Council and has completed twenty-five years of service in Group A, or
equivalent, with at least three years of experience in the administration of an
existing law or the goods and services tax or in the field of finance and taxation
in the State Government:
Provided that the State Government may, on the recommendations of the
Council, by notification, relax the requirement of completion of twenty-five
years of service in Group A, or equivalent, in respect of officers of such State
where no person has completed twenty-five years of service in Group A, or
equivalent, but has completed twenty-five years of service in the Government,
subject to such conditions, and till such period, as may be specified in the
notification.
(2) The President, Judicial Member, Technical Member (Centre) and Technical
Member (State) shall be appointed or re-appointed by the Government on the
recommendations of a Search-cum-Selection Committee constituted under
sub-section (4):
Provided that in the event of the occurrence of any vacancy in the office of the
President by reason of his death, resignation or otherwise, the Judicial Member or, in
his absence, the senior-most Technical Member of the PrincipaI Bench shall act as the
President until the date on which a new President, appointed in accordance with the
provisions of this Act to fill such vacancy, enters upon his office:
Provided further that where the President is unable to discharge his functions
owing to absence, illness or any other cause, the Judicial Member or, in his absence,
the senior-most Technical Member of the Principal Bench, shall discharge the
functions of the President until the date on which the President resumes his duties.
(3) While making selection for Technical Member (State) of a State Bench, first
preference shall be given to officers who have worked in the State Government of the
State to which the jurisdiction of the Bench extends.
(4) (a) The Search-cum-Selection Committee for Technical Member (State) of a
State Bench shall consist of the following members, namely:—
(i) the Chief Justice of the High Court in whose jurisdiction the State
Bench is located, to be the Chairperson of the Committee;
(ii) the senior-most JudiciaI Member in the State, and where no JudiciaI
Member is available, a retired Judge of the High Court in whose jurisdiction the
State Bench is located, as may be nominated by the Chief Justice of such
High Court;
(iii) Chief Secretary of the State in which the State Bench is located;
(iv) one Additional Chief Secretary or Principal Secretary or Secretary of
the State in which the State Bench is located, as may be nominated by such
State Government, not in-charge of the Department responsible for
administration of State tax; and
(v) Additional Chief Secretary or Principal Secretary or Secretary of the

Department responsible for administration of State tax, of the State in which the
State Bench is located — Member Secretary; and
(b) the Search-cum-Selection Committee for all other cases shall consist of the
following members, namely:—
(i) the Chief Justice of India or a Judge of Supreme Court nominated by
him, to be the Chairperson of the Committee;
(ii) Secretary of the Central Government nominated by the Cabinet
Secretary — Member;
(iii) Chief Secretary of a State to be nominated by the Council — Member;
(iv) one Member, who—
(A) in case of appointment of a President of a Tribunal, shall be the
outgoing President of the Tribunal; or
(B) in case of appointment of a Member of a Tribunal, shall be the
sitting President of the Tribunal; or
(C) in case of the President of the Tribunal seeking re-appointment
or where the outgoing President is unavailable or the removal of the
President is being considered, shall be a retired Judge of the
Supreme Court or a retired Chief Justice of a High Court nominated by the
Chief Justice of India; and
(v) Secretary of the Department of Revenue in the Ministry of Finance of
the Central Government — Member Secretary.
(5) The Chairperson shall have the casting vote and the Member Secretary
shall not have a vote.
(6) Notwithstanding anything contained in any judgment, order, or decree of
any court or any law for the time being in force, the Committee shall recommend a
panel of two names for appointment or re-appointment to the post of the President or
a Member, as the case may be.
(7) No appointment or re-appointment of the Members of the Appellate Tribunal
shall be invalid merely by reason of any vacancy or defect in the constitution of the
Search-cum-Selection Committee.
any court or any law for the time being in force, the salary of the President and the
Members of the Appellate Tribunal shall be such as may be prescribed and their
allowances and other terms and conditions of service shall be the same as applicable
to Central Government officers carrying the same pay:
Provided that neither the salary and allowances nor other terms and conditions
of service of the President of Members of the Appellate Tribunal shall be varied to
their disadvantage after their appointment:
Provided further that, if the President or Member takes a house on rent, he may
be reimbursed a house rent higher than the house rent allowance as are admissible to
a Central Government officer holding the post carrying the same pay, subject to such
limitations and conditions as may be prescribed.
any court or any law for the time being in force, the President of the Appellate Tribunal
shall hold office for a term of four years from the date on which he enters upon his
office, or until he attains the age of sixty-seven years, whichever is earlier and shall be
eligible for re-appointment for a period not exceeding two years.
any court or any law for the time being in force, the Judicial Member, Technical
Member (Centre) or Technical Member (State) of the Appellate Tribunal shall hold
office for a term of four years from the date on which he enters upon his office, or until
he attains the age of sixty-five years, whichever is earlier and shall be eligible for
re-appointment for a period not exceeding two years.
(11) The President or any Member may, by notice in writing under his hand
addressed to the Government, resign from his office:
Provided that the President or Member shall continue to hold office until the
expiry of three months from the date of receipt of such notice by the Government or
until a person duly appointed as his successor enters upon his office or until the
expiry of his term of office, whichever is the earliest.
(12) The Government may, on the recommendations of the Search-cum-Selection
Committee, remove from the office President or a Member, who—
(a) has been adjudged an insolvent; or
(b) has been convicted of an offence which involves moral turpitude; or
(c) has become physically or mentally incapable of acting as such
President or Member; or
(d) has acquired such financial or other interest as is likely to affect
prejudicially his functions as such President or Member; or
(e) has so abused his position as to render his continuance in office
prejudicial to the public interest:
Provided that the President or the Member shall not be removed on any of the
grounds specified in clauses (d) and (e), unless he has been informed of the charges
against him and has been given an opportunity of being heard.
(13) The Government, on the recommendations of the Search-cum-Selection
Committee, may suspend from office, the President or a Judicial or Technical
Member in respect of whom proceedings for removal have been initiated under
sub-section (12).
(14) Subject to the provisions of article 220 of the Constitution, the President or
other Members, on ceasing to hold their office, shall not be eligible to appear, act or
plead before the Principal Bench or the State Bench in which he was the President or,
as the case may be, a Member.”.
Substitution of 151. For section 114 of the Central Goods and Services Tax Act, the following section
new section for shall be subsituted, namely:—
section 114.
Financial and “114. The President shall exercise such financial and administrative powers
Administrative over the Appellate Tribunal as may be prescribed.”.
powers of
President.
Amendment of 152. In section 117 of the Central Goods and Services Tax Act,—
section 117.
(a) in sub-section (1), for the words “State Bench or Area Benches”, the words
“State Benches” shall be substituted;
(b) in sub-section (5), in clauses (a) and (b), for the words “State Bench or Area
Benches”, the words “State Benches” shall be substituted.
Amendment of 153. In section 118 of the Central Goods and Sevices Tax Act, in sub-section (1), in
section 118. clause (a), for the words “National Bench or Regional Bench”, the words “Principal Bench”
Amendment of 154. In section 119 of the Central Goods and Services Tax Act,—
section 119.
(a) for the words “National or Regional Benches”, the words “Principal Bench”
(b) for the words “State Bench or Area Benches”, the words “State Benches”
155. In section 122 of the Central Goods and Services Tax Act, after sub-section (1A), Amendment of
"(1B) Any electronic commerce operator who—

(i) allows a supply of goods or services or both through it by an
unregistered person other than a person exempted from registration by a
notification issued under this Act to make such supply;
(ii) allows an inter-State supply of goods or services or both through it
by a person who is not eligible to make such inter-State supply; or
(iii) fails to furnish the correct details in the statement to be furnished
under sub-section (4) of section 52 of any outward supply of goods effected
through it by a person exempted from obtaining registration under this Act,
shall be liable to pay a penalty of ten thousand rupees, or an amount equivalent to the
amount of tax involved had such supply been made by a registered person other than
a person paying tax under section 10, whichever is higher.".
156. In section 132 of the Central Goods and Services Tax Act, in sub-section (1),— Amendment of
section 132.
(a) clauses (g), (j) and (k) shall be omitted;
(b) in clause (l), for the words, brackets and letters "clauses (a) to (k)", the
words, brackets and letters "clauses (a) to (f) and clauses (h) and (i)" shall be
substituted;
(c) in clause (iii), for the words "any other offence", the words, brackets and
letter"an offence specified in clause (b)," shall be substituted;
(d) in clause (iv), the words, brackets and letters "or clause (g) or clause (j)"
shall be omitted.
157. In section 138 of the Central Goods and Services Tax Act,— Amendment of
section 138.
(a) in sub-section (1), in the first proviso,—
(i) for clause (a), the following clause shall be substituted, namely:—
"(a) a person who has been allowed to compound once in respect
of any of the offences specified in clauses (a) to (f), (h), (i) and (l) of
sub-section (1) of section 132;";
(ii) clause (b) shall be omitted;
(iii) for clause (c), the following clause shall be substituted, namely:—
"(c) a person who has been accused of committing an offence
under clause (b) of sub-section (1) of section 132;";
(iv) clause (e) shall be omitted;
(b) in sub-section (2), for the words "ten thousand rupees or fifty per cent. of
the tax involved, whichever is higher, and the maximum amount not being less than
thirty thousand rupees or one hundred and fifty per cent. of the tax, whichever is
higher", the words "twenty-five per cent. of the tax involved and the maximum amount
not being more than one hundred per cent. of the tax involved" shall be substituted.
158. After section 158 of the Central Goods and Services Tax Act, the following Insertion of
section shall be inserted, namely:— new section
158A.
"158A. (1) Notwithstanding anything contained in sections 133, 152 and 158, Consent based
the following details furnished by a registered person may, subject to the provisions sharing of
information
of sub-section (2), and on the recommendations of the Council, be shared by the furnished by
common portal with such other systems as may be notified by the Government, in taxable person.
such manner and subject to such conditions as may be prescribed, namely:—
(a) particulars furnished in the application for registration under

section 25 or in the return filed under section 39 or under section 44;
(b) the particulars uploaded on the common portal for preparation of
invoice, the details of outward supplies furnished under section 37 and the
particulars uploaded on the common portal for generation of documents under
section 68;
(c) such other details as may be prescribed.
(2) For the purposes of sharing details under sub-section (1), the consent shall
be obtained, of—
(a) the supplier, in respect of details furnished under clauses (a), (b) and
(c) of sub-section (1); and
(b) the recipient, in respect of details furnished under clause (b) of
sub-section (1), and under clause (c) of sub-section (1) only where such details
include identity information of the recipient,
in such form and manner as may be prescribed.
(3) Notwithstanding anything contained in any law for the time being in force,
no action shall lie against the Government or the common portal with respect to any
liability arising consequent to information shared under this section and there shall
be no impact on the liability to pay tax on the relevant supply or as per the relevant
return.".
Retrospective 159. (1) In Schedule III to the Central Goods and Services Tax Act, paragraphs 7 and
exemption to 8 and the Explanation 2 thereof (as inserted vide section 32 of Act 31 of 2018) shall be
certain
deemed to have been inserted therein with effect from the 1st day of July, 2017.
activities and
transactions in (2) No refund shall be made of all the tax which has been collected, but which would
Schedule III to not have been so collected, had sub-section (1) been in force at all material times.
the Central
Goods and
Services Tax
Act. Integrated Goods and Services Tax
Amendment of 160. In the Integrated Goods and Services Tax Act, 2017 (hereinafter referred to as 13 of 2017.
section 2. the Integrated Goods and Services Tax Act), in section 2,—
(a) for clause (16), the following clause shall be substituted, namely:—
'(16) "non-taxable online recipient" means any unregistered person
receiving online information and database access or retrieval services located
in taxable territory.
Explanation.—For the purposes of this clause, the expression
"unregistered person" includes a person registered solely in terms of
clause (vi) of section 24 of the Central Goods and Services Tax Act, 2017;'; 12 of 2017.
(b) in clause (17), the words "essentially automated and involving minimal
human intervention and" shall be omitted.
Amendment of 161. In section 12 of the Integrated Goods and Services Tax Act, in sub-section (8),
section 12. the proviso shall be omitted.
Amendment of 162. In section 13 of the Integrated Goods and Services Tax Act, sub-section (9) shall
section 13. be omitted.
Goods and Services Tax (Compensation to States) Act
Amendment of 163. In the Schedule to the Goods and Services Tax (Compensation to States)
Schedule. Act, 2017,— 15 of 2017.
(a) in serial number 1, for the entry in column (4) occuring against tariff item
2106 90 20, the entry "fifty-one per cent. of retail sale price per unit" shall be substituted;
(b) in serial number 2, for the entry in column (4) occurring against Chapter 24,
the entry "Four thousand one hundred and seventy rupees per thousand sticks or
two hundred and ninety per cent. ad valorem or a combination thereof, but not
exceeding four thousand one hundred and seventy rupees per thousand sticks plus
two hundred and ninety per cent. ad valorem or hundred per cent. of retail sale price
per unit" shall be substituted;
(c) the following Explanation shall be inserted at the end, namely:—
‘Explanation.—For the purposes of this Schedule,—
(i) "retail sale price" means the maximum price at which the
concerned goods in packaged form may be sold to the ultimate consumer
and includes all taxes, local or otherwise, freight, transport charges,
commission payable to dealers, and all charges towards advertisement,
delivery, packing, forwarding and the like and the price is the sole
consideration for such sale:
1 of 2010. Provided that where the provisions of the Legal Metrology Act, 2009
or the rules made thereunder or any other law for the time being in force
require to declare on the package, the retail sale price excluding any taxes,
local or otherwise, the retail sale price shall be construed accordingly;
(ii) where on the package of any concerned goods more than one
retail sale price is declared, the maximum of such retail sale price shall be
deemed to be the retail sale price;
(iii) where the retail sale price, declared on the package of any
concerned goods at the time of its clearance from the place of manufacture,
is altered to increase the retail sale price, such altered retail sale price shall
be deemed to be the retail sale price;
(iv) where different retail sale prices are declared on different
packages for the sale of any concerned goods in packaged form in different
areas, each such retail sale price shall be the retail sale prices for the
purposes of determination of the rate of cess for the said goods intended
to be sold in the area to which the retail sale price relates.'.
CHAPTER V
M ISCELLANEOUS
PART I
AMENDMENTS TO THE GOVERNMENT SAVINGS PROMOTION ACT, 1873
164. The provisions of this Part shall come into force on such date as the Central Commencement
Government may, by notification in the Official Gazette, appoint. of this Part.
165. In the Government Savings Promotion Act, 1873,— Amendment of

Act 5 of 1873.
(a) in section 4A, for sub-section (4), the following sub-section shall be
"(4) If a depositor dies and no nomination is in force at the time of his
death, and the probate of his will or letters of administration of estate or a
39 of 1925. succession certificate granted under the Indian Succession Act, 1925, or legal
heir certificate issued by the revenue authority not below the rank of Tahsildar
having jurisdiction, is not produced within six months from the date of death of
the depositor to the Authorised Officer, then, where the eligible balance does
not exceed such limit as may be prescribed, the Authorised Officer may, for
reasons to be recorded in writing, pay the eligible balance to the person legally
entitled to receive it or to administer the estate of the deceased in accordance
with such procedure and manner as may be prescribed.";
(b) in section 15, in sub-section (2), for clause (i), the following clause shall be
"(i) the limit, procedure and manner under sub-section (4) of section 4A;";
(c) in the Schedule, in PART A, for serial numbers 7 and 8 and the entries
relating thereto, the following shall be substituted, namely:—
"7. Public Provident Fund Scheme
8. National Savings Certificates (VIII Issue) Scheme, 2019
9. Kisan Vikas Patra Scheme, 2019
10. PM CARES for Children Scheme, 2021".
PART II
AMENDMENT TO THE INDIAN STAMP ACT, 1899
Amendment of 166. In the Indian Stamp Act, 1899, in Schedule I, in article 47, in division D, under
Act 2 of 1899. the heading "Exemption", for the portion beginning with "Policies of life-insurance" and
ending with "authority of the Central Government.", the following shall be substituted,
namely:—
"Policies of life insurance—
(a) granted by the Director-General of Post Offices in accordance with
the rules for Postal Life-Insurance issued under the authority of the Central
Government; and
(b) under the Pradhan Mantri Jeevan Jyoti Bima Yojana (PMJJBY).".
PART III
AMENDMENT TO THE SECURITIES CONTRACTS (REGULATION) ACT, 1956
Amendment of 167. In the Securities Contracts (Regulation) Act, 1956, in section 18A, after
Act 42 of clause (b), the following clause shall be inserted, namely:—
1956.
'(ba) regulated by the International Financial Services Centres Authority
established under section 4 of the International Financial Services Centres Authority
Act, 2019, in an International Financial Services Centre and issued by a Foreign 50 of 2019.
Portfolio Investor.
Explanation.—For the purposes of this clause, the expression "Foreign
Portfolio Investor" shall have the meaning assigned to it in clause (u) of rule 2 of the
Foreign Exchange Management (Non-debt Instruments) Rules, 2019 made under
section 46 of the Foreign Exchange Management Act, 1999;'. 42 of 1999.
PART IV
AMENDMENTS TO THE CENTRAL SALES TAX ACT, 1956
Substitution of 168. In the Central Sales Tax Act,1956 (hereinafter referred to as the Central Sales Tax 74 of 1956.
new section for Act), for section 19, the following section shall be substituted, namely:—
section 19.
Customs, "19. Notwithstanding anything to the contrary contained in this Act or in any
Excise and other law for the time being in force, the Customs, Excise and Service Tax Appellate
Service Tax
Appellate Tribunal constituted under section 129 of the Customs Act, 1962 shall be the Authority 52 of 1962.
Tribunal to under this Act to settle inter-State disputes falling under sections 6A and 9.".
function as
Authority
under this Act.
Omission of 169. Section 24 of the Central Sales Tax Act shall be omitted.
section 24.
Amendment of 170. In the Central Sales Tax Act, in section 25, after sub-section (2), the following
section 25. sub-section shall be inserted, namely:—
"(3) All appeals filed under section 20 and pending before the erstwhile Authority
for Advance Rulings as on the date on which the Finance Bill, 2023 receives the
assent of the President shall stand transferred to the Authority referred to in
section 19.".
PART V
AMENDMENTS TO THE PROHIBITION OF BENAMI PROPERTY TRANSACTIONS ACT, 1988
171. In the Prohibition of Benami Property Transactions Act, 1988, with effect from Amendment of
the 1st day of April, 2023,— Act 45 of
1988.
(a) in section 2, in clause (18),—
(I) in sub-clause (i), the word "and" occurring at the end shall be omitted;
(II) in sub-clause (ii), the word "and" shall be inserted at the end;
(III) after sub-clause (ii), the following sub-clause shall be inserted,
namely:—
"(iii) the High Court within the jurisdiction of which the office of
the Initiating Officer is located,—
(a) where the aggrieved party does not ordinarily reside or
carry on business or personally work for gain in the jurisdiction of
any High Court;
(b) where the Government is the aggrieved party and any of
the respondents do not ordinarily reside or carry on business or
personally work for gain in the jurisdiction of any High Court;";
(b) in section 46,—
(i) in sub-section (1), for the words "of the order", the words "on which
such order is received by the Initiating Officer or received by such person."
(ii) in sub-section (1A), for the words "of that order", the words "on
which such order is received by such person" shall be substituted.
PART VI
AMENDMENT TO THE FINANCE ACT, 2001
172. In the Finance Act, 2001, the Seventh Schedule shall be amended in the manner Amendment of
specified in the Sixth Schedule. Seventh
Schedule to Act
14 of 2001.
PART VII
AMENDMENTS TO THE UNIT TRUST OF INDIA (TRANSFER OF UNDERTAKING AND REPEAL)
ACT, 2002
173. In the Unit Trust of India (Transfer of Undertaking and Repeal) Act, 2002, with Amendment of
effect from the 1st day of April, 2023,— Act 58 of
2002.
(a) in section 8, in sub-section (1), for the words "investors, shall", the words
"investors or from such date as may be notified by the Central Government in the
Official Gazette, whichever is earlier," shall be substituted;
(b) in section 13, in sub-section (1), for the figures, letters and words "31st day
of March, 2023", the figures, letters and words "31st day of March, 2025" shall be
substituted.
PART VIII
AMENDMENTS TO THE FINANCE (NO. 2) ACT, 2004
174. In the Finance (No. 2) Act, 2004, in section 98, in the Table, in serial Amendment of
number 4, in column (2)— Act 23 of
2004.
(i) against entry (a), in column (3), for the figures and word "0.05 per cent.", the
figures and word "0.0625 per cent." shall be substituted; and
(ii) against entry (c), in column (3), for the figures and word "0.01 per cent.", the
figures and word "0.0125 per cent." shall be substituted.
THE FIRST SCHEDULE

(See section 2)
PART I
INCOME-TAX
Paragraph A
(I) In the case of every individual other than the individual referred to in items (II) and
(III) of this Paragraph or Hindu undivided family or association of persons or body of
sub-clause (vii) of clause (31) of section 2 of the Income-tax Act, not being a case to which
any other Paragraph of this Part applies,—
Rates of income-tax
(1) where the total income does not Nil;
exceed Rs. 2,50,000
(2) where the total income exceeds 5 per cent. of the amount by which the
Rs. 2,50,000 but does not exceed total income exceeds Rs. 2,50,000;
Rs. 5,00,000
(3) where the total income exceeds Rs.12,500 plus 20 per cent. of the amount
Rs. 5,00,000 but does not exceed by which the total income exceeds
Rs. 10,00,000 Rs. 5,00,000;
(4) where the total income exceeds Rs. 1,12,500 plus 30 per cent. of the
Rs. 10,00,000 amount by which the total income
exceeds Rs.10,00,000.
(II) In the case of every individual, being a resident in India, who is of the age of sixty
years or more but less than eighty years at any time during the previous year,—
Rates of income-tax
exceed Rs. 3,00,000
Rs. 5,00,000
(3) where the total income exceeds Rs.10,000 plus 20 per cent. of the amount
Rs. 10,00,000 Rs. 5,00,000;
(4) where the total income exceeds Rs.1,10,000 plus 30 per cent. of the
(III) In the case of every individual, being a resident in India, who is of the age of eighty
years or more at any time during the previous year,—
Rates of income-tax
exceed Rs. 5,00,000
Rs. 10,00,000
(3) where the total income exceeds Rs.1,00,000 plus 30 per cent. of the
exceeds Rs. 10,00,000.
SEC. 1] 69 EXTRAORDINARY
THE GAZETTE OF INDIA 69
Surcharge on income-tax
The amount of income-tax computed in accordance with the preceding provisions of
this Paragraph, or the provisions of section 111A or section 112 or section 112A or the
provisions of section 115BAC of the Income-tax Act, shall be increased by a surcharge for
the purposes of the Union, calculated, in the case of every individual or Hindu undivided
family or association of persons or body of individuals, whether incorporated or not, or
every artificial juridical person referred to in sub-clause (vii) of clause (31) of section 2 of the
Income-tax Act,—
(a) having a total income (including the income by way of dividend or income
per cent. of such income-tax;
(b) having a total income (including the income by way of dividend or income
Act) exceeding one crore rupees, but not exceeding two crore rupees, at the rate of
fifteen per cent. of such income-tax;
(c) having a total income (excluding the income by way of dividend or income
Act) exceeding two crore rupees but not exceeding five crore rupees, at the rate of
twenty-five per cent. of such income-tax;
(d) having a total income (excluding the income by way of dividend or income
Act) exceeding five crore rupees, at the rate of thirty-seven per cent. of such
income-tax; and
(e) having a total income (including the income by way of dividend or income
under the provisions of section 111A, section 112 and section 112A) exceeding two
crore rupees but is not covered under clauses (c) and (d), shall be applicable at the rate
of fifteen per cent. of such income-tax:
Provided that in case where the total income includes any income by way of dividend
or income under the provisions of section 111A, section 112 and section 112A of the
Income-tax Act, the rate of surcharge on the amount of income-tax computed in respect of
that part of income shall not exceed fifteen per cent.:
Provided further that in case of an association of persons consisting of only companies
as its members, the rate of surcharge on the amount of income-tax shall not exceed fifteen
per cent.:
Provided also that in the case of persons mentioned above having total income
exceeding,—
(a) fifty lakh rupees but not exceeding one crore rupees, the total amount payable
as income-tax and surcharge on such income shall not exceed the total amount payable
as income-tax on a total income of fifty lakh rupees by more than the amount of income
that exceeds fifty lakh rupees;
payable as income-tax and surcharge on such income shall not exceed the total amount
payable as income-tax and surcharge on a total income of one crore rupees by more
than the amount of income that exceeds one crore rupees;
payable as income-tax and surcharge on such income shall not exceed the total amount
payable as income-tax and surcharge on a total income of two crore rupees by more
than the amount of income that exceeds two crore rupees;
(d) five crore rupees, the total amount payable as income-tax and surcharge on
such income shall not exceed the total amount payable as income-tax and surcharge on
a total income of five crore rupees by more than the amount of income that exceeds five
crore rupees.
Paragraph B
In the case of every co-operative society,—
Rates of income-tax
(1) where the total income does not 10 per cent. of the total income;
exceed Rs. 10,000
(2) where the total income exceeds Rs. 1,000 plus 20 per cent. of the amount
Rs. 10,000 but does not exceed by which the total income exceeds
Rs. 20,000 Rs. 10,000;
Rs. 20,000 by which the total income exceeds
Rs. 20,000.
this Paragraph, or the provisions of section 111A or section 112 or section 112A of the
Income-tax Act, shall, be increased by a surcharge for the purposes of the Union, calculated
in the case of every co-operative society,—
(a) having a total income exceeding one crore rupees but not exceeding ten crore
rupees, at the rate of seven per cent. of such income-tax;
(b) having a total income exceeding ten crore rupees, at the rate of twelve
per cent.:
Provided that in the case of every co-operative society having total income exceeding
one crore rupees but not exceeding ten crore rupees, the total amount payable as income-tax
and surcharge on such income shall not exceed the total amount payable as income-tax on a
total income of one crore rupees by more than the amount of income that exceeds one crore
rupees:
Provided further that in the case of every co-operative society having a total income
exceeding ten crore rupees, the total amount payable as income-tax and surcharge on such
income shall not exceed the total amount payable as income-tax and surcharge on a total
income of ten crore rupees by more than the amount of income that exceeds ten crore rupees.
Paragraph C
In the case of every firm,—
Rate of income-tax
On the whole of the total income 30 per cent.
Income-tax Act, shall, in the case of every firm, having a total income exceeding one crore
rupees, be increased by a surcharge for the purposes of the Union calculated at the rate of
twelve per cent. of such income-tax:
Provided that in the case of every firm mentioned above having total income exceeding
one crore rupees, the total amount payable as income-tax and surcharge on such income
shall not exceed the total amount payable as income-tax on a total income of one crore rupees
by more than the amount of income that exceeds one crore rupees.
Paragraph D
In the case of every local authority,—
Rate of income-tax
Income-tax Act, shall, in the case of every local authority, having a total income exceeding
one crore rupees, be increased by a surcharge for the purposes of the Union calculated at the
rate of twelve per cent. of such income-tax:
Provided that in the case of every local authority mentioned above having total
income exceeding one crore rupees, the total amount payable as income-tax and surcharge
on such income shall not exceed the total amount payable as income-tax on a total income of
one crore rupees by more than the amount of income that exceeds one crore rupees.
Paragraph E
In the case of a company,—
Rates of income-tax
I. In the case of a domestic company,—
(i) where its total turnover or the 25 per cent. of the total income;
gross receipt in the previous year
2020-21 does not exceed four
hundred crore rupees
(ii) other than that referred to in 30 per cent. of the total income.
item (i)
II. In the case of a company other than a domestic company,—
(i) on so much of the total income as 50 per cent.;
consists of,—
(a) royalties received from Government or an Indian concern in pursuance
of an agreement made by it with the Government or the Indian concern after the
31st day of March, 1961 but before the 1st day of April, 1976; or
(b) fees for rendering technical services received from Government or an
Indian concern in pursuance of an agreement made by it with the Government or
the Indian concern after the 29th day of February, 1964 but before the 1st day of
April, 1976,
and where such agreement has, in either case, been approved by the Central Government
(ii) on the balance, if any, of the total income 40 per cent.
this Paragraph, or the provisions of section 111A or section 112 or 112A of the Income-tax
Act, shall, be increased by a surcharge for the purposes of the Union calculated,—
(i) in the case of every domestic company,—
(a) having a total income exceeding one crore rupees but not exceeding
ten crore rupees, at the rate of seven per cent. of such income-tax; and
(ii) in the case of every company other than a domestic company,—
ten crore rupees, at the rate of two per cent. of such income-tax; and
(b) having a total income exceeding ten crore rupees, at the rate of five
per cent. of such income-tax:
Provided that in the case of every company having a total income exceeding one
crore rupees but not exceeding ten crore rupees, the total amount payable as
income-tax and surcharge on such income shall not exceed the total amount payable as
income-tax on a total income of one crore rupees by more than the amount of income
that exceeds one crore rupees:
Provided further that in the case of every company having a total income
exceeding ten crore rupees, the total amount payable as income-tax and surcharge on
such income shall not exceed the total amount payable as income-tax and surcharge on
a total income of ten crore rupees by more than the amount of income that exceeds ten
crore rupees.
PART II
RATES FOR DEDUCTION OF TAX AT SOURCE IN CERTAIN CASES
In every case in which under the provisions of sections 193, 194A, 194B, 194BA,
194BB, 194D, 194LBA, 194LBB, 194LBC and 195 of the Income-tax Act, tax is to be deducted
at the rates in force, deduction shall be made from the income subject to the deduction at the
following rates:—
Rate of
income-tax
1. In the case of a person other than a company—
(a) where the person is resident in India—
(i) on income by way of interest other than 10 per cent.;
"Interest on securities"
(ii) on income by way of winnings from lotteries, 30 per cent.;
puzzles, card games and other games of any sort
(other than winnings from online games)
(iii) on income by way of winnings from horse races 30 per cent.;
(iv) on income by way of winnings from online games 30 per cent.;
(v) on income by way of insurance commission 5 per cent.;
(vi) on income by way of interest payable on— 10 per cent.;
(A) any debentures or securities for money issued
by or on behalf of any local authority or a corporation
established by a Central, State or Provincial Act;
(B) any debentures issued by a company where
such debentures are listed on a recognised stock
exchange in India in accordance with the Securities
Contracts (Regulation) Act, 1956 (42 of 1956) and any
rules made thereunder;
(C) any security of the Central or State
Government;
(vii) on any other income 10 per cent.;
(b) where the person is not resident in India—
(i) in the case of a non-resident Indian—
(A) on any investment income 20 per cent.;

(B) on income by way of long-term capital gains 10 per cent.;
referred to in section 115E or sub-clause (iii) of
clause (c) of sub-section (1) of section 112
(C) on income by way of long-term capital gains 10 per cent.;
referred to in section 112A exceeding one lakh rupees
(D) on other income by way of long-term capital 20 per cent.;
gains [not being long-term capital gains referred to in
clauses (33) and (36) of section 10]
(E) on income by way of short-term capital gains 15 per cent.;
referred to in section 111A
(F) on income by way of interest payable by 20 per cent.;
Government or an Indian concern on moneys borrowed
or debt incurred by Government or the Indian concern
in foreign currency (not being income by way of interest
referred to in section 194LB or section 194LC)
(G) on income by way of royalty payable by 20 per cent.;
Government or an Indian concern in pursuance of an
agreement made by it with the Government or the Indian
concern where such royalty is in consideration for the
transfer of all or any rights (including the granting of a
licence) in respect of copyright in any book on a subject
referred to in the first proviso to sub-section (1A) of
section 115A of the Income-tax Act, to the Indian
concern, or in respect of any computer software referred
to in the second proviso to sub-section (1A) of
section 115A of the Income-tax Act, to a person resident
in India
(H) on income by way of royalty [not being 20 per cent.;
royalty of the nature referred to in sub-item (b)(i)(G)]
payable by Government or an Indian concern in
pursuance of an agreement made by it with the
Government or the Indian concern and where such
agreement is with an Indian concern, the agreement is
approved by the Central Government or where it relates
to a matter included in the industrial policy, for the time
being in force, of the Government of India, the agreement
is in accordance with that policy
(I) on income by way of fees for technical services 20 per cent.;
(J) on income by way of winnings from lotteries, 30 per cent.;
crossword puzzles, card games and other games of any
sort (other than winnings from online games)
(K) on income by way of winnings from horse 30 per cent.;
races
(L) on income by way of winnings from online 30 per cent.;

games
(M) on income by way of dividend, referred to in 10 per cent.;
to in the proviso to sub-clause (A) of clause (a) of
sub-section (1) of section 115A
(N) on income by way of dividend other that 20 per cent.;
the income referred to in sub-item (b)(i)(M)
(O) on the whole of the other income 30 per cent.;
(ii) in the case of any other person—
(A) on income by way of interest payable by 20 per cent.;
Government or an Indian concern on moneys borrowed
or debt incurred by Government or the Indian concern
in foreign currency (not being income by way of interest
referred to in section 194LB or section 194LC)
(B) on income by way of royalty payable by 20 per cent.;
Government or an Indian concern in pursuance of an
agreement made by it with the Government or the Indian
concern where such royalty is in consideration for the
transfer of all or any rights (including the granting of a
licence) in respect of copyright in any book on a subject
referred to in the first proviso to sub-section (1A) of
section 115A of the Income-tax Act, to the Indian
concern, in respect of any computer software referred
to in the second proviso to sub-section (1A) of
section 115A of the Income-tax Act, to a person resident
in India
(C) on income by way of royalty [not being 20 per cent.;
royalty of the nature referred to in sub-item (b)(ii)(B)]
(D) on income by way of fees for technical 20 per cent.;
services payable by Government or an Indian concern
in pursuance of an agreement made by it with the
(E) on income by way of winnings from lotteries, 30 per cent.;
crossword puzzles, card games and other games of any
sort (other than winnings from online games)
(F) on income by way of winnings from horse 30 per cent.;
races
(G) on income by way of winnings from online 30 per cent.;
games
(H) on income by way of short-term capital 15 per cent.;
gains referred to in section 111A
(I) on income by way of long-term capital gains 10 per cent.;

referred to in sub-clause (iii) of clause (c) of
sub-section (1) of section 112
(J) on income by way of long-term capital gains 10 per cent.;
referred to in section 112A exceeding one lakh rupees
(K) on income by way of other long-term capital 20 per cent.;
gains [not being long-term capital gains referred to in
clauses (33) and (36) of section 10]
(L) on income by way of dividend, referred to 10 per cent.;
in the proviso to sub-clause (A) of clause (a) of
sub-section (1) of section 115A
(M) on income by way of dividend other 20 per cent.;
than the income referred to in sub-item (b)(ii)(L)
(N) on the whole of the other income 30 per cent.
2. In the case of a company—
(a) where the company is a domestic company—
(i) on income by way of interest other than "Interest 10 per cent.;
on securities"
(ii) on income by way of winnings from lotteries, 30 per cent.;
puzzles, card games and other games of any sort (other than
winnings from online games)
(iii) on income by way of winnings from horse races 30 per cent.;
(iv) on income by way of winnings from online games 30 per cent.;
(v) on any other income 10 per cent.;
(b) where the company is not a domestic company—
(i) on income by way of winnings from lotteries, 30 per cent.;
crossword puzzles, card games and other games of any sort
(other than winnings from online games)
(ii) on income by way of winnings from horse races 30 per cent.;
(iii) on income by way of winnings from online games 30 per cent.;
(iv) on income by way of interest payable by Government 20 per cent.;
or an Indian concern on moneys borrowed or debt incurred
by Government or the Indian concern in foreign currency (not
being income by way of interest referred to in section 194LB
or section 194LC)
(v) on income by way of royalty payable by Government 20 per cent.;
or an Indian concern in pursuance of an agreement made by it
with the Government or the Indian concern after the 31st day
of March, 1976 where such royalty is in consideration for the
transfer of all or any rights (including the granting of a licence)
in respect of copyright in any book on a subject referred to in
the first proviso to sub-section (1A) of section 115A of the
Income-tax Act, to the Indian concern, or in respect of any
computer software referred to in the second proviso to
sub-section (1A) of section 115A of the Income-tax Act, to a
person resident in India
(vi) on income by way of royalty [not being royalty of
the nature referred to in item (b)(v)] payable by Government
or an Indian concern in pursuance of an agreement made by it
with the Government or the Indian concern and where such
approved by the Central Government or where it relates to a
matter included in the industrial policy, for the time being in

force, of the Government of India, the agreement is in with
that policy—
(A) where the agreement is made after the 31st 50 per cent.;
day of March, 1961 but before the 1st day of April, 1976
(B) where the agreement is made after the 31st 20 per cent.;
day of March, 1976
(vii) on income by way of fees for technical services
payable by Government or an Indian concern in pursuance of
an agreement made by it with the Government or the Indian
concern and where such agreement is with an Indian concern,
the agreement is approved by the Central Government or where
it relates to a matter included in the industrial policy, for the
time being in force, of the Government of India, the agreement
is in accordance with that policy—
(A) where the agreement is made after the 29th 50 per cent.;
day of February, 1964 but before the 1st day of
April, 1976
(B) where the agreement is made after the 31st 20 per cent.;
day of March, 1976
(viii) on income by way of short-term capital gains 15 per cent.;
referred to in section 111A
(ix) on income by way of long-term capital gains referred 10 per cent.;
to in sub-clause (iii) of clause (c) of sub-section (1) of
section 112
(x) on income by way of long-term capital gains referred 10 per cent.;
to in section 112A exceeding one lakh rupees
(xi) on income by way of other long-term capital gains 20 per cent.;
[not being long-term capital gains referred to in clauses (33)
and (36) of section 10]
(xii) on income by way of dividend, referred to in the 10 per cent.;
proviso to sub-clause (A) of clause (a) of sub-section (I)
of section 115A
(xiii) on income by way of dividend other than the 20 per cent.;
income referred to in item (b)(xii)
(xiv) on any other income 40 per cent.
Explanation.—For the purposes of item 1(b)(i) of this Part, "investment income" and
"non-resident Indian" shall have the meanings assigned to them in Chapter XII-A of the
Income-tax Act.
The amount of income-tax deducted in accordance with the provisions of—
(i) item 1 of this Part, shall be increased by a surcharge, for the purposes of the
Union,—
(a) in the case of every individual or Hindu undivided family or association
of persons or body of individuals, whether incorporated or not, or every artificial
Income-tax Act, being a non-resident, calculated,—
I. at the rate of ten per cent. of such tax, where the income or the
aggregate of such incomes (including the income by way of dividend or
income under the provisions of sections 111A, 112 and 112A of the
Income-tax Act) paid or likely to be paid and subject to the deduction
II. at the rate of fifteen per cent. of such tax, where the income or the
exceeds one crore rupees but does not exceed two crore rupees;
III. at the rate of twenty-five per cent. of such tax, where the income
or the aggregate of such incomes (excluding the income by way of dividend
or income under the provisions of sections 111A, 112 and 112A of the
exceeds two crore rupees but does not exceed five crore rupees;
IV. at the rate of thirty-seven per cent. of such tax, where the income
or the aggregate of such incomes (excluding the income by way of dividend
or income under the provisions of sections 111A, 112 and 112A of the
exceeds five crore rupees; and
V. at the rate of fifteen per cent. of such tax, where the income or the
exceeds two crore rupees, but is not covered under sub-clauses III and IV:
Provided that in case where the total income includes any income by way
of dividend or income under the provisions of sections 111A, 112 and 112A of
the Income-tax Act, the rate of surcharge on the amount of income-tax deducted
in respect of that part of income shall not exceed fifteen per cent.:
Provided further that where the income of such person is chargeable to tax
under sub-section (1A) of section 115BAC of the Income-tax Act, the rate of
surcharge shall not exceed twenty-five per cent.;
(b) in the case of every co-operative society, being a non-resident,
calculated,—
I. at the rate of seven per cent. of such tax, where the income or the
aggregate of such incomes paid or likely to be paid and subject to the
deduction exceeds one crore rupees but does not exceed ten crore rupees;
II. at the rate of twelve per cent. where the income or the aggregate
of such incomes paid or likely to be paid and subject to the deduction
exceeds ten crore rupees;
(c) in the case of every firm, being a non-resident, calculated at the rate of
twelve per cent., where the income or the aggregate of such incomes paid or
likely to be paid and subject to the deduction exceeds one crore rupees;
(ii) item 2 of this Part shall be increased by a surcharge, for the purposes of the
Union, in the case of every company other than a domestic company, calculated,—
(a) at the rate of two per cent. of such income-tax where the income or the
exceeds one crore rupees but does not exceed ten crore rupees; and
(b) at the rate of five per cent. of such income-tax where the income or the
exceeds ten crore rupees.
PART III
RATES FOR CHARGING INCOME-TAX IN CERTAIN CASES, DEDUCTING INCOME-TAX FROM
INCOME CHARGEABLE UNDER THE HEAD "SALARIES" AND COMPUTING "ADVANCE TAX"
In cases in which income-tax has to be charged under sub-section (4) of section 172 of
the Income-tax Act or sub-section (2) of section 174 or section 174A or section 175 or
sub-section (2) of section 176 of the said Act or deducted from, or paid on, from income
chargeable under the head "Salaries" under section 192 of the said Act or deducted under
section 194P of the said Act or in which the "advance tax" payable under Chapter XVII-C of
the said Act has to be computed at the rate or rates in force, such income-tax or, as the case
may be, "advance tax" [not being "advance tax" in respect of any income chargeable to tax
under Chapter XII or Chapter XII-A or income chargeable to tax under section 115JB or
section 115JC or Chapter XII-FA or Chapter XII-FB or sub-section (1A) of section 161 or
section 164 or section 164A or section 167B of the said Act at the rates as specified in that
Chapter or section or surcharge, wherever applicable, on such "advance tax" in respect of
any income chargeable to tax under section 115A or section 115AB or section 115AC or
section 115ACA or section 115AD or section 115B or section 115BA or section 115BAA or
section 115BAB or section 115BAC or section 115BAD or section 115BAE or section 115BB
or section 115BBA or section 115BBC or section 115BBE or section 115BBF or
section 115BBG or section 115BBH or section 115BBI or section 115BBJ or section 115E or
section 115JB or section 115JC] shall be charged, deducted or computed at the following rate
or rates:—
Paragraph A
(I) In the case of every individual other than the individual referred to in items (II) and
(III) of this Paragraph or Hindu undivided family or association of persons or body of
sub-clause (vii) of clause (31) of section 2 of the Income-tax Act, not being a case to which
any other Paragraph of this Part applies,—
Rates of income-tax
exceed Rs. 2,50,000
Rs. 5,00,000
Rs. 10,00,000 Rs. 5,00,000;
(II) In the case of every individual, being a resident in India, who is of the age of sixty
years or more but less than eighty years at any time during the previous year,—
Rates of income-tax
exceed Rs. 3,00,000
Rs. 3,00,000 but does not exceed total income exceeds Rs.3,00,000;
Rs. 5,00,000
Rs. 10,00,000 Rs. 5,00,000;
(III) In the case of every individual, being a resident in India, who is of the age of eighty
years or more at any time during the previous year,—
Rates of income-tax
exceed Rs. 5,00,000
(2) where the total income exceeds 20 per cent. of the amount by which the total
Rs. 5,00,000 but does not exceed income exceeds Rs. 5,00,000;
Rs. 10,00,000
(3) where the total income exceeds Rs. 1,00,000 plus 30 per cent. of the amount by
Rs.10,00,000 which the total income exceeds Rs. 10,00,000.
Income-tax Act, shall be increased by a surcharge for the purposes of the Union, calculated,
in the case of every individual or Hindu undivided family or association of persons or body
of individuals, whether incorporated or not, or every artificial juridical person referred to in
sub-clause (vii) of clause (31) of section 2 of the Income-tax Act,—
(a) having a total income (including the income by way of dividend or income
(b) having a total income (including the income by way of dividend or income
Act) exceeding one crore rupees but not exceeding two crore rupees, at the rate of
fifteen per cent. of such income-tax;
(c) having a total income (excluding the income by way of dividend or income
Act) exceeding two crore rupees but not exceeding five crore rupees, at the rate of
twenty-five per cent. of such income-tax;
(d) having a total income (excluding the income by way of dividend or income
Act) exceeding five crore rupees, at the rate of thirty-seven per cent. of such
income-tax; and
(e) having a total income (including the income by way of dividend or income
Act) exceeding two crore rupees, but is not covered under clauses (c) and (d), shall be
applicable at the rate of fifteen per cent. of such income-tax:
Provided that in case where the total income includes any income by way of
dividend or income under the provisions of section 111A, section 112 and
section 112A of the income-tax Act, the rate of surcharge on the amount of income-tax
computed in respect of that part of income shall not exceed fifteen per cent.:
Provided further that in case of an association of persons consisting of only
companies as its members, the rate of surcharge on the amount of income-tax shall not
exceed fifteen per cent.:
Provided also that in the case of persons mentioned above having total income
exceeding,—
(a) fifty lakh rupees but not exceeding one crore rupees, the total amount
payable as income-tax and surcharge on such income shall not exceed the total
amount payable as income-tax on a total income of fifty lakh rupees by more than
the amount of income that exceeds fifty lakh rupees;
amount payable as income-tax and surcharge on a total income of one crore
amount payable as income-tax and surcharge on a total income of two crore

rupees by more than the amount of income that exceeds two crore rupees;
(d) five crore rupees, the total amount payable as income-tax and surcharge
on such income shall not exceed the total amount payable as income-tax and
surcharge on a total income of five crore rupees by more than the amount of
income that exceeds five crore rupees.
Paragraph B
In the case of every co-operative society,—
Rates of income-tax
(1) where the total income does not 10 per cent. of the total income;
exceed Rs.10,000
(2) where the total income exceeds Rs. 1,000 plus 20 per cent. of the amount by
Rs.10,000 but does not exceed which the total income exceeds Rs. 10,000;
Rs. 20,000
(3) where the total income exceeds Rs. 3,000 plus 30 per cent. of the amount by
Rs. 20,000 which the total income exceeds Rs. 20,000.
Income-tax Act, shall, be increased by a surcharge for the purposes of the Union, calculated
in the case of every co-operative society,—
(a) having a total income exceeding one crore rupees but not exceeding ten crore
rupees, at the rate of seven per cent. of such income-tax;
per cent.:
Provided that in the case of every co-operative society having total income exceeding
one crore rupees but not exceeding ten crore rupees, the total amount payable as income-tax
and surcharge on such income shall not exceed the total amount payable as income-tax on a
total income of one crore rupees by more than the amount of income that exceeds one crore
rupees:
Provided further that in the case of every co-operative society having total income
exceeding ten crore rupees, the total amount payable as income-tax and surcharge on such
income shall not exceed the total amount payable as income-tax and surcharge on a total
income of ten crore rupees by more than the amount of income that exceeds ten crore rupees.
Paragraph C
In the case of every firm,—
Rate of income-tax
Income-tax Act, shall, in the case of every firm, having a total income exceeding one crore
rupees, be increased by a surcharge for the purposes of the Union calculated at the rate of
twelve per cent. of such income-tax:
Provided that in the case of every firm mentioned above having total income exceeding
one crore rupees, the total amount payable as income-tax and surcharge on such income
shall not exceed the total amount payable as income-tax on a total income of one crore rupees
by more than the amount of income that exceeds one crore rupees.
Paragraph D
In the case of every local authority,—
Rate of income-tax
On the whole of the total income 30 per cent.;
The amount of income-tax computed in accordance with the preceding provisions
of this Paragraph, or the provisions of section 111A or section 112 or section 112A of the
Income-tax Act, shall, in the case of every local authority, having a total income exceeding
one crore rupees, be increased by a surcharge for the purposes of the Union calculated at the
rate of twelve per cent. of such income-tax:
Provided that in the case of every local authority mentioned above having total
income exceeding one crore rupees, the total amount payable as income-tax and surcharge
on such income shall not exceed the total amount payable as income-tax on a total income of
one crore rupees by more than the amount of income that exceeds one crore rupees.
Paragraph E
In the case of a company,—
Rates of income-tax
I. In the case of a domestic company,—
(i) where its total turnover or the 25 per cent. of the total income;
gross receipt in the previous year
2021-2022 does not exceed four hundred
crore rupees;
(ii) other than that referred to in item (i) 30 per cent. of the total income.
II. In the case of a company other than a domestic company,—
(i) on so much of the total income 50 per cent.;
as consists of,—
(a) royalties received from Government or an Indian concern in pursuance
of an agreement made by it with the Government or the Indian concern after the
31st day of March, 1961 but before the 1st day of April, 1976; or
(b) fees for rendering technical services received from Government or an
Indian concern in pursuance of an agreement made by it with the Government or
the Indian concern after the 29th day of February, 1964 but before the 1st day of
April, 1976,
and where such agreement has, in either case, been approved by the Central Government;
(ii) on the balance, if any, of the 40 per cent.
total income
Income-tax Act, shall, be increased by a surcharge for the purposes of the Union, calculated,—
(i) in the case of every domestic company,—
ten crore rupees, at the rate of seven per cent. of such income-tax; and
(ii) in the case of every company other than a domestic company,—
ten crore rupees, at the rate of two per cent. of such income-tax; and
(b) having a total income exceeding ten crore rupees, at the rate of five
per cent. of such income-tax:
Provided that in the case of every company having a total income exceeding one crore
rupees but not exceeding ten crore rupees, the total amount payable as income-tax and
surcharge on such income shall not exceed the total amount payable as income-tax on a total
income of one crore rupees by more than the amount of income that exceeds one crore
rupees:
Provided further that in the case of every company having a total income exceeding
ten crore rupees, the total amount payable as income-tax and surcharge on such income shall
not exceed the total amount payable as income-tax and surcharge on a total income of ten
crore rupees by more than the amount of income that exceeds ten crore rupees.
PART IV
[See section 2(13)(c)]
RULES FOR COMPUTATION OF NET AGRICULTURAL INCOME
Rule 1.—Agricultural income of the nature referred to in sub-clause (a) of clause (1A)
of section 2 of the Income-tax Act shall be computed as if it were income chargeable to
income-tax under that Act under the head "Income from other sources" and the provisions of
sections 57 to 59 of that Act shall, so far as may be, apply accordingly:
Provided that sub-section (2) of section 58 shall apply subject to the modification that
the reference to section 40A therein shall be construed as not including a reference to
sub-sections (3), (3A) and (4) of section 40A.
Rule 2.—Agricultural income of the nature referred to in sub-clause (b) or
sub-clause (c) of clause (1A) of section 2 of the Income-tax Act [other than income derived
from any building required as a dwelling-house by the receiver of the rent or revenue of the
cultivator or the receiver of rent-in-kind referred to in the said sub-clause (c)] shall be computed
as if it were income chargeable to income-tax under that Act under the head "Profits and
gains of business or profession" and the provisions of sections 30, 31, 32, 36, 37, 38, 40, 40A
[other than sub-sections (3), (3A) and (4) thereof], 41, 43, 43A, 43B and 43C of the Income-tax
Act shall, so far as may be, apply accordingly.
Rule 3.—Agricultural income of the nature referred to in sub-clause (c) of clause (1A)
of section 2 of the Income-tax Act, being income derived from any building required as a
dwelling-house by the receiver of the rent or revenue or the cultivator or the receiver of
rent-in-kind referred to in the said sub-clause (c) shall be computed as if it were income
chargeable to income-tax under that Act under the head "Income from house property" and
the provisions of sections 23 to 27 of that Act shall, so far as may be, apply accordingly.
Rule 4.—Notwithstanding anything contained in any other provisions of these rules,
in a case—
(a) where the assessee derives income from sale of tea grown and manufactured
by him in India, such income shall be computed in accordance with rule 8 of the
Income-tax Rules, 1962, and sixty per cent. of such income shall be regarded as the
agricultural income of the assessee;
(b) where the assessee derives income from sale of centrifuged latex or cenex or
latex based crepes (such as pale latex crepe) or brown crepes (such as estate brown
crepe, re-milled crepe, smoked blanket crepe or flat bark crepe) or technically specified
block rubbers manufactured or processed by him from rubber plants grown by him in
India, such income shall be computed in accordance with rule 7A of the Income-tax
Rules, 1962, and sixty-five per cent. of such income shall be regarded as the agricultural
income of the assessee;
(c) where the assessee derives income from sale of coffee grown and manufactured
by him in India, such income shall be computed in accordance with rule 7B of the
Income-tax Rules, 1962, and sixty per cent. or seventy-five per cent., as the case may
be, of such income shall be regarded as the agricultural income of the assessee.
Rule 5.—Where the assessee is a member of an association of persons or a body of
individuals (other than a Hindu undivided family, a company or a firm) which in the previous
year has either no income chargeable to tax under the Income-tax Act or has total income not
exceeding the maximum amount not chargeable to tax in the case of an association of persons
or a body of individuals (other than a Hindu undivided family, a company or a firm) but has
any agricultural income then, the agricultural income or loss of the association or body shall
be computed in accordance with these rules and the share of the assessee in the agricultural
income or loss so computed shall be regarded as the agricultural income or loss of the
assessee.
Rule 6.—Where the result of the computation for the previous year in respect of any
source of agricultural income is a loss, such loss shall be set off against the income of the
assessee, if any, for that previous year from any other source of agricultural income:
Provided that where the assessee is a member of an association of persons or a body
of individuals and the share of the assessee in the agricultural income of the association or
body, as the case may be, is a loss, such loss shall not be set off against any income of the
assessee from any other source of agricultural income.
Rule 7.—Any sum payable by the assessee on account of any tax levied by the State
Government on the agricultural income shall be deducted in computing the agricultural
income.
Rule 8.—(1) Where the assessee has, in the previous year relevant to the assessment
year commencing on the 1st day of April, 2023, any agricultural income and the net result of
the computation of the agricultural income of the assessee for any one or more of the
previous years relevant to the assessment years commencing on the 1st day of April, 2015 or
the 1st day of April, 2016 or the 1st day of April, 2017 or the 1st day of April, 2018 or the
1st day of April, 2019 or the 1st day of April, 2020 or the 1st day of April, 2021, or the
1st day of April, 2022, is a loss, then, for the purposes of sub-section (2) of section 2 of this
Act,—
(i) the loss so computed for the previous year relevant to the assessment year
commencing on the 1st day of April, 2015, to the extent, if any, such loss has not been
set off against the agricultural income for the previous year relevant to the assessment
year commencing on the 1st day of April, 2016 or the 1st day of April, 2017 or the
1st day of April, 2018 or the 1st day of April, 2019 or the 1st day of April, 2020 or the
1st day of April, 2021 or the 1st day of April, 2022,
(ii) the loss so computed for the previous year relevant to the assessment year
1st day of April, 2022,
(iii) the loss so computed for the previous year relevant to the assessment year
1st day of April, 2020 or the 1st day of April, 2021 or the 1st day of April, 2022,
(iv) the loss so computed for the previous year relevant to the assessment year
(v) the loss so computed for the previous year relevant to the assessment year
(vi) the loss so computed for the previous year relevant to the assessment year
year commencing on the 1st day of April, 2021 or the 1st day of April, 2022,
(vii) the loss so computed for the previous year relevant to the assessment year
year commencing on the 1st day of April, 2022,
(viii) the loss so computed for the previous year relevant to the assessment year
commencing on the 1st day of April, 2022,
shall be set off against the agricultural income of the assessee for the previous year relevant
to the assessment year commencing on the 1st day of April, 2023.
(2) Where the assessee has, in the previous year relevant to the assessment year
commencing on the 1st day of April, 2024, or, if by virtue of any provision of the Income-tax
Act, income-tax is to be charged in respect of the income of a period other than the previous
year, in such other period, any agricultural income and the net result of the computation of
the agricultural income of the assessee for any one or more of the previous years relevant to
the assessment years commencing on the 1st day of April, 2016 or the 1st day of April, 2017
or the 1st day of April, 2018 or the 1st day of April, 2019 or the 1st day of April, 2020 or the
1st day of April, 2021 or the 1st day of April, 2022 or the 1st day of April, 2023, is a loss, then,
for the purposes of sub-section (10) of section 2 of this Act,—
(i) the loss so computed for the previous year relevant to the assessment year
(ii) the loss so computed for the previous year relevant to the assessment year
(iii) the loss so computed for the previous year relevant to the assessment year
1st day of April, 2021 or the 1st day of April, 2022 or the 1st day of April, 2023,
(iv) the loss so computed for the previous year relevant to the assessment year
(v) the loss so computed for the previous year relevant to the assessment year
(vi) the loss so computed for the previous year relevant to the assessment year
year commencing on the 1st day of April, 2022 or the 1st day of April, 2023,
(vii) the loss so computed for the previous year relevant to the assessment year
year commencing on the 1st day of April, 2023,
(viii) the loss so computed for the previous year relevant to the assessment year
commencing on the 1st day of April, 2023,
shall be set off against the agricultural income of the assessee for the previous year relevant
to the assessment year commencing on the 1st day of April, 2024.
(3) Where any person deriving any agricultural income from any source has been
succeeded in such capacity by another person, otherwise than by inheritance, nothing in
sub-rule (1) or sub-rule (2) shall entitle any person, other than the person incurring the loss,
to have it set off under sub-rule (1) or, as the case may be, sub-rule (2).
(4) Notwithstanding anything contained in this rule, no loss which has not been
determined by the Assessing Officer under the provisions of these rules or the rules contained
in the First Schedule to the Finance Act, 2015 (20 of 2015) or the First Schedule to the Finance
Act, 2016 (28 of 2016) or the First Schedule to the Finance Act, 2017 (7 of 2017) or the
First Schedule to the Finance Act, 2018 (13 of 2018) or the First Schedule of the Finance
(No. 2) Act, 2019 (23 of 2019) or the First Schedule of the Finance Act, 2020
(12 of 2020) or the First Schedule of the Finance Act, 2021 (13 of 2021) or the First Schedule
of the Finance Act, 2022 (6 of 2022) shall be set off under sub-rule (1) or, as the case may be,
sub-rule (2).
Rule 9.—Where the net result of the computation made in accordance with these rules
is a loss, the loss so computed shall be ignored and the net agricultural income shall be
deemed to be nil.
Rule 10.—The provisions of the Income-tax Act relating to procedure for assessment
(including the provisions of section 288A relating to rounding off of income) shall, with the
necessary modifications, apply in relation to the computation of the net agricultural income
of the assessee as they apply in relation to the assessment of the total income.
Rule 11.—For the purposes of computing the net agricultural income of the assessee,
the Assessing Officer shall have the same powers as he has under the Income-tax Act for the
purposes of assessment of the total income.
THE SECOND SCHEDULE

[See section 135 (a)]
In the First Schedule to the Customs Tariff Act,––
Tariff Item Description of goods Unit Rate of duty

Standard Preferential
(1) (2) (3) (4) (5)
(1) in Chapter 29,––

(i) for the entry in column (4) occurring against tariff item 2902 50 00, the entry
“2.5%” shall be substituted;
(ii) for the entry in column (4) occurring against tariff item 2903 21 00, the entry
“2.5%” shall be substituted;
(2) in Chapter 40, for the entry in column (4) occurring against all the tariff items of
heading 4005, the entry “25% or Rs. 30 per kg., whichever is lower” shall be substituted;
(i) for the entry in column (4) occurring against all the tariff items of headings
7113 and 7114, the entry “25%” shall be substituted;
(ii) for the entry in column (4) occurring against all the tariff items of heading
7117, the entry “25% or Rs. 600 per kg., whichever is higher” shall be substituted;
(4) in Chapter 84, for the entry in column (4) occurring against tariff item 8414 60 00,
the entry “15%” shall be substituted;
(5) in Chapter 87, for the entry in column (4) occurring against tariff item 8712 00 10,
the entry “35%” shall be substituted;
(6) in Chapter 95, for the entry in column (4) occurring against all the tariff items of
heading 9503, the entry “70%” shall be substituted.
THE THIRD SCHEDULE

[See section 135 (b)]
(1) in Chapter 40, for the entry in column (4) occurring against tariff item
4011 30 00, the entry “2.5%” shall be substituted;
(i) for the entry in column (4) occurring against all the tariff items of
heading 7106, the entry “10%” shall be substituted;
(ii) for the entry in column (4) occurring against tariff item 7107 00 00, the
entry “10%” shall be substituted;
(iii) for the entry in column (4) occurring against all the tariff items of
(iv) for the entry in column (4) occurring against tariff item 7109 00 00, the
(v) for the entry in column (4) occurring against tariff items 7110 11 10,
7110 11 20, 7110 19 00, 7110 21 00, 7110 29 00, 7110 41 00 and 7110 49 00, the entry
“10%” shall be substituted;
(vi) for the entry in column (4) occurring against tariff item 7111 00 00, the
(vii) for the entry in column (4) occurring against all the tariff items of
(viii) for the entry in column (4) occurring against all the tariff items of
(3) in Chapter 88, for the entry in column (4) occurring against tariff items
8802 20 00, 8802 30 00 and 8802 40 00, the entry “2.5%” shall be substituted;
(a) in heading 9801, in column (2),––
(i) for item (3), the following item shall be substituted, namely:––
“(3) Power project, other than solar power plant or solar power
project”;
(ii) in item (6), for the words “Such other projects”, the words
“Such other projects, other than solar power plant or solar power project,”
(b) in sub-heading 9801 00, in column (2),––
(i) for item (3), the following item shall be substituted, namely:––
“(3) power project, other than solar power plant or solar power
project”;
(ii) in item (6), for the words “such other projects”, the words
“such other projects, other than solar power plant or solar power project,”
(c) for the entry in column (2) occurring against tariff item 9801 00 13, the
following entry shall be substituted, namely:––
“- - - - For power project, other than solar power plant or solar
power project”;
(d) for the entry in column (2) occurring against tariff item 9801 00 19, the
following entry shall be substituted, namely:––
“- - - - For other projects, other than solar power plant or solar
power project”.
THE FOURTH SCHEDULE

[See section 135 (c)]
(1) in the General Explanatory Notes, in paragraph 1, after the portion beginning
with the words ‘Where the description of an article or group of articles’ and ending
with the words ‘the article or group of articles which has “-” or “- - ”.’, the following
‘Where the description of an article or group of articles is preceded by
“- - - - ”, ‘in addition to being a sub-classification of “-” or “- - ”, the said article
or group of articles may also be taken to be a sub-classification of the immediately
preceding description of the article or group of articles which has “- - -”.’;
(2) for the List of Abbreviations Used, the following shall be substituted,
namely:––
“LIST OF ABBREVIATIONS USED
Abbreviations For
AC Alternating Current
Amps Ampere(s)
ASTM American Society for Testing Materials
Bq Becquerel(s)
Bq/g Becquerel(s) per gram
°C Degree(s) Celsius
cc Cubic centimetre(s)
cg Centigram(s)
Ci/g Curie per gram
C.I.F. Cost, Insurance and Freight
c/k Carats (1 metric carat = 2 x 10-4 kg)
cm Centimetre(s)
cm² Square centimetre(s)
cm³ Cubic centimetre(s)
cN Centinewton(s)
DC Direct Current
dyne/cm Dyne per centimetre
g Gram(s)
g/cm³ Gram per cubic centimetre
g/m² Gram per square metre
gi F/S Gram of fissile isotopes
g.v.w. Gross vehicle weight
Gy Gray
HP Horse Power
Hz Hertz
IR Infra-red
K Kelvin
kcal Kilocalorie(s)
kcal/kg Kilocalorie(s) per kilogram
kg Kilogram(s)
kgf Kilogram force
kN Kilonewton(s)
kN/m Kilonewton(s) per metre
kPa Kilopascal(s)
kPa. m²/g Kilopascal square metre per gram
kV Kilovolt(s)
kVA Kilovolt(s) - ampere(s)
kvar Kilovolt(s) - ampere(s) - reactive
kW Kilowatt(s)
kWh Kilowatt hours
l Litre(s)
m Metre(s)
m- Meta-
m² Square metre(s)
m³ Cubic metre(s)
m³/h Cubic metre(s) per hour
µCi Microcurie
mm Millimetre
mN Millinewton(s)
mPa Millipascal(s)
mT Metric tonne
MW Megawatt(s)
N Newton(s)
N/m Newton(s) per metre
No. Number
o- Ortho-
p- Para-
pa Number of pairs
RAD Radiation absorbed dose
Rs. Rupees
sq. Square
SWG Standard wire gauge
t Tonne(s)
Tu Thousand in number
u Number
US$ US Dollar
UV Ultra-violet
V Volt(s)
vol. Volume
W Watt(s)
% Percent
x° X degree(s)
1000 kWh 1000 kilowatt hours”;
Tariff Item Description of goods Unit Rate of duty

Standard Preferential
(1) (2) (3) (4) (5)

(i) in heading 0302,––
(a) for sub-heading 0302 91, tariff item 0302 91 10 and the entries relating
thereto, the following shall be substituted, namely:—
“0302 91 00 - - Livers, roes and milt kg. 30% -”;
(b) for sub-heading 0302 92, tariff item 0302 92 10 and the entries relating
“0302 92 00 - - Shark fins kg. 30% -”;
(ii) in heading 0303, for sub-heading 0303 92, tariff item 0303 92 10 and the
entries relating thereto, the following shall be substituted, namely:—
“0303 92 00 - - Shark fins kg. 30% -”;
(iii) in heading 0307, after tariff item 0307 43 30 and the entries relating thereto,
the following shall be inserted, namely:—
“0307 43 90 - - - Other kg. 30% -”;
(iv) in heading 0308, after tariff item 0308 30 20 and the entries relating thereto,
“0308 30 90 - - - Other kg. 30% -”;
(4) in Chapter 4, in heading 0406, for tariff item 0406 10 00 and the entries relating
“0406 10 - Fresh (unripened or uncured) cheese,
including whey cheese, and curd
0406 10 10 - - - Mozzarella cheese kg. 30% -
0406 10 90 - - - Other kg. 30% -”;
(5) in Chapter 9, in heading 0910, for tariff items 0910 99 29 to 0910 99 39 and the entries
“0910 99 29 - - - - Other kg. 30% -
0910 99 30 - - - Husk kg. 30% -”;
(6) in Chapter 10, in heading 1008,––
(i) after tariff item 1008 21 30 and the entries relating thereto, the following shall
be inserted, namely:—
“1008 21 40 - - - Barnyard (Echinochloa kg. 50% -
esculenta (L.))
1008 21 50 - - - Proso (Panicum kg. 50% -
miliaceum (L.))
1008 21 60 - - - Foxtail (Setaria italica (L.)) kg. 50% -
1008 21 70 - - - Kodo (Paspalum kg. 50% -
scrobiculatum (L.))
1008 21 80 - - - Little (Panicum sumatrense (L.)) kg. 50% -
- - - Other :
1008 21 91 - - - - Amaranth (Amaranthus (L.)) kg. 50% -

1008 21 99 - - - - Other kg. 50% -”;
(ii) after tariff item 1008 29 30 and the entries relating thereto, the following
“1008 29 40 - - - Barnyard (Echinochloa kg. 50% -
esculenta (L.))
1008 29 50 - - - Proso (Panicum miliaceum (L.)) kg. 50% -
1008 29 60 - - - Foxtail (Setaria italica (L.)) kg. 50% -
1008 29 70 - - - Kodo (Paspalum kg. 50% -
scrobiculatum (L.))
1008 29 80 - - - Little (Panicum sumatrense (L.)) kg. 50% -
--- Other :
1008 29 91 - - - - Amaranth (Amaranthus (L.)) kg. 50% -
1008 29 99 - - - - Other kg. 50% -”;
(7) in Chapter 12, in heading 1211, for sub-heading 1211 90, tariff items 1211 90 11 to
1211 90 99 and the entries relating thereto, the following shall be substituted, namely:—
“1211 90 - Other :
- - - Seeds, Kernel, Aril, Fruit, Pericarp, Fruit rind,
Endosperm, Mesocarp, Endocarp :
1211 90 11 - - - - Ambrette seeds kg. 30% -
1211 90 12 - - - - Nuxvomica, Dried ripe seeds kg. 30% -
1211 90 13 - - - - Psyllium seeds (isobgul) kg. 30% -
1211 90 14 - - - - Neem seeds kg. 30% -
1211 90 15 - - - - Jojoba seeds kg. 30% -
1211 90 16 - - - - Garcinia kg. 30% -
1211 90 19 - - - - Other kg. 30% -
- - - Leaves, Leaf bud, Galls, flowers,
Inflorescence, Spadix, Flower
bud, Style and Stigma, Stamen
and pods :
1211 90 21 - - - - Belladona leaves kg. 30% -
1211 90 22 - - - - Senna leaves and pods kg. 30% -
1211 90 23 - - - - Neem leaves kg. 30% -
1211 90 24 - - - - Gymnema kg. 30% -
1211 90 25 - - - - Cubeb kg. 30% -
1211 90 26 - - - - Pyrethrum kg. 30% -
1211 90 29 - - - - Other kg. 30% -
- - - Bark, Husk and Rind :
1211 90 31 - - - - Cascara sagrada bark kg. 30% -
1211 90 32 - - - - Psyllium husk (isobgul husk) kg. 30% -
1211 90 33 - - - - Gamboge fruit rind kg. 30% -
1211 90 34 - - - - Ashoka (Saraca asoca.) kg. 30% -
1211 90 35 - - - - Arjuna (Terminalia arjuna) kg. 30% -

1211 90 39 - - - - Other kg. 30% -
- - - Roots, Root stalk, Bulb, Corn,
Tuber, Stolon and rhizome :
1211 90 41 - - - - Belladona roots kg. 30% -
1211 90 42 - - - - Galangal rhizomes and roots kg. 30% -
1211 90 43 - - - - Ipecac dried rhizome and roots kg. 30% -
1211 90 44 - - - - Serpentina roots (rowwalfia kg. 30% -
serpentina and other species of
rowwalfias)
1211 90 45 - - - - Zedovary roots kg. 30% -
1211 90 46 - - - - Kuth root kg. 30% -
1211 90 47 - - - - Sarasaparilla roots kg. 30% -
1211 90 48 - - - - Sweet flag rhizomes kg. 30% -
1211 90 49 - - - - Other kg. 30% -
--- Whole Plant, Aerial Part, Stem,
Shoot and Wood :
1211 90 51 - - - - Sandalwood chips and dust kg. 30% -
1211 90 52 - - - - Vinca rosea herbs kg. 30% -
1211 90 53 - - - - Mint kg. 30% -
1211 90 54 - - - - Agarwood kg. 30% -
1211 90 55 - - - - Chirata kg. 30% -
1211 90 56 - - - - Basil, hyssop, rosemary, sage kg. 30% -
and savory
1211 90 57 - - - - Ashwagandha (Withania somnifera) kg. 30% -
1211 90 58 - - - - Giloy (Tinospora cordifolia) kg. 30% -
1211 90 59 - - - - Other kg. 30% -
1211 90 90 --- Other kg. 30% -”;
(i) in the Note, in clause (g), for the brackets, word and figures
“(heading 3006)”, the brackets, word and figures “(heading 3822)” shall be substituted;
(ii) in heading 1302,––
(a) for tariff item 1302 32 30 and the entries relating thereto, the following
“- - - Guargum:
1302 32 31 - - - - Chemically treated kg. 30% -
1302 32 39 - - - - Other kg. 30% -”;
(b) tariff item 1302 32 40 and the entries relating thereto shall be
omitted;
(c) for tariff item 1302 39 00 and the entries relating thereto, the
“1302 39 -- Other :
1302 39 10 --- Tamarind Kernel Powder kg. 30% -

1302 39 20 --- Kappa carrageenan kg. 30% -
1302 39 90 --- Other kg. 30% -”;
“1904 20 - Prepared foods obtained from unroasted
cereal flakes or from mixtures of unroasted
cereal flakes and roasted cereal flakes or
swelled cereals;
1904 20 10 --- With millet content 15% or more by kg. 30% -
weight
1904 20 90 --- Other kg. 30% -”;
“2701 12 -- Bituminous coal :
2701 12 10 --- Coking coal kg. 5% -
2701 12 90 --- Other kg. 5% -”;
(i) in heading 2916, after tariff item 2916 20 10 and the entries relating thereto,
“2916 20 20 - - - Bifenthrin (ISO) kg. 7.5% -”;
(ii) in heading 2924, after tariff item 2924 29 60 and the entries relating thereto,
“2924 29 70 - - - Pretilachlor (ISO) kg. 7.5% -”;
(iii) in heading 2930,––
(a) for tariff item 2930 20 00 and the entries relating thereto, the following
“2930 20 - Thiocarbamates and dithiocarbamates :
2930 20 10 --- Cartap Hydrochloride (ISO) kg. 7.5% -
2930 20 90 --- Other kg. 7.5% -”;
(b) after tariff item 2930 90 91 and the entries relating thereto, the following
“2930 90 92 - - - - Acephate (ISO) kg. 7.5% -”;
(iv) in heading 2931, after tariff item 2931 49 20 and the entries relating thereto,
“2931 49 30 - - - Glyphosate (ISO) kg. 7.5% -”;
(v) in heading 2932, after tariff item 2932 99 10 and the entries relating thereto,
“2932 99 20 - - - Emamectin Benzoate (ISO) kg. 7.5% -”;
(vi) in heading 2933,––
(a) after tariff item 2933 29 50 and the entries relating thereto, the following
“2933 29 60 - - - Imidacloprid (ISO) kg. 7.5% -”;
(b) after tariff item 2933 39 16 and the entries relating thereto, the
following shall be inserted, namely:—
“2933 39 17 - - - - Chlorantraniliprole (ISO) kg. 7.5% -”;
(c) for tariff item 2933 39 19 and the entries relating thereto, the
“2933 39 21 - - - - Acetamiprid (ISO) kg. 7.5% -
2933 39 22 - - - - Imazethapyr (ISO) kg. 7.5% -
2933 39 29 - - - - Other kg. 7.5% -”;
(d) after tariff item 2933 59 40 and the entries relating thereto, the
“2933 59 50 - - - Bispyribac-sodium (ISO) kg. 10% -”;
(e) after tariff item 2933 99 10 and the entries relating thereto, the
“2933 99 20 - - - Carbendazim (ISO) kg. 7.5% -”;
(vii) in heading 2934, after tariff item 2934 99 20 and the entries relating
thereto, the following shall be inserted, namely:—
“2934 99 30 - - - Buprofezin (ISO) kg. 7.5% -”;
(viii) in heading 2935, for tariff item 2935 50 00 and the entries relating
“2935 50 - Other perfluorooctane sulphonamides :
2935 50 10 --- Flubendiamide (ISO) kg. 7.5% -
2935 50 90 --- Other kg. 7.5% -”;
(i) after Note 6, the following Supplementary Note shall be inserted, namely:—
“Supplementary Note :
(1) In this Chapter, reference to any standard of the Bureau of
Indian Standards refers to the last published version of that standard.
Illustration : IS 1459 refers to IS 1459: 2018 and not to IS 1459: 1974.”;
(ii) in heading 3102, for tariff item 3102 10 00 and the entries relating thereto, the
“3102 10 - Urea, whether or not in aqueous solution :
3102 10 10 --- Fertilizer grade, conforming to kg. 10% -
Standard IS 5406
3102 10 90 - - - Other kg. 10% -”;
(i) after Sub-heading Note 4, the following Supplementary Notes shall be inserted,
namely:—
“Supplementary Notes:
1. Tariff item 3808 91 41 covers one of the following goods of
sub-heading 3808 91 : Acephate (ISO) conforming to IS-12915; Cartap
Hydrochloride (ISO) conforming to IS-14159; Imidacloprid (ISO)
conforming to IS-15443; Acetamiprid (ISO) conforming to IS-15981.

sub-heading 3808 91 with content by mass greater than 90% :
Chlorantraniliprole (ISO); Buprofezin (ISO); Flubendiamide (ISO);
Emamectin Benzoate (ISO).
3. Tariff item 3808 91 51 covers only mixtures and preparations of
goods of sub-heading 3808 91, containing one or more of the following :
Acephate (ISO) conforming to IS-12916; Cartap Hydrochloride (ISO)
conforming to IS-14183; Imidacloprid (ISO) conforming to IS-15335;
Acetamiprid (ISO) conforming to IS-16328.
goods of sub-heading 3808 91 with content by mass greater than 90%,
containing one or more of the following : Chlorantraniliprole (ISO);
Buprofezin (ISO); Flubendiamide (ISO); Emamectin Benzoate (ISO).
sub-heading 3808 92 : Carbendazim (ISO) conforming to IS-8445.
Carbendazim (ISO) conforming to IS-8446.
sub-heading 3808 93 : Pretilachlor (ISO) conforming to IS-15158;
Glyphosate (ISO) conforming to IS-12502.
8.Tariff item 3808 93 62 covers one of the following goods of
sub-heading 3808 93 with content by mass greater than 90% : Bispyribac
sodium (ISO); Imazethapyr (ISO).
Pretilachlor (ISO) conforming to IS-15160.
goods of sub-heading 3808 93 with content by mass greater than 90%,
containing one or more of the following : Bispyribac sodium (ISO);
Imazethapyr (ISO).”;
(a) after tariff item 3808 91 37 and the entries relating thereto, the following
“- - - Goods specified in Supplementary Note 1 and 2
to this Chapter :
3808 91 41 - - - - Goods specified in Supplementary kg. 10% -
Note1 to this Chapter
Note 2 to this Chapter
- - - Goods specified in Supplementary
Note 3 and 4 to this Chapter :
3808 91 52 - - - - Goods specified in Supplementary kg. 10% -”;
(b) after tariff item 3808 92 50 and the entries relating thereto, the
“3808 92 60 - - - Goods specified in Supplementary kg. 10% -

3808 92 70 --- Goods specified in Supplementary kg. 10% -”;
(c) after tariff item 3808 93 50 and the entries relating thereto, the
“- - - Goods specified in Supplementary
- - - Goods specified in Supplementary
3808 93 72 - - - - Goods specified in Supplementary kg. 10% -”;
(14) in Chapter 39, in heading 3915, after tariff item 3915 90 75 and the entries
relating thereto, the following shall be inserted, namely:—
“3915 90 79 - - - - Others kg. 7.5% -”;
(15) in Chapter 48, in heading 4811, for tariff item 4811 90 94 and the entries
“4811 90 94 - - - - Thermal paper in jumbo rolls (of kg. 10% -
size 1 m and above in width
and 5,000 m and above in length)
4811 90 95 - - - - Thermal paper in jumbo rolls kg. 10% -
(of size 1 m and above in width
and less than 5,000 m in length)
4811 90 96 - - - - Thermal paper in rolls of size kg. 10% -”;
less than 1 m in width
(16) in Chapter 52, in heading 5201, for tariff item 5201 00 20 and the entries
“- - - Other :
5201 00 21 - - - - Of staple length not kg. 5% -
exceeding 20.0 mm
5201 00 22 - - - - Of staple length exceeding 20.0 mm kg. 5% -
but not exceeding 24.5 mm
5201 00 25 - - - - Of staple length exceeding 32.0 mm kg. 5% -”;
(17) in Chapter 54, in heading 5402,––
(i) for tariff item 5402 11 10 and the entries relating thereto, the following
“5402 11 00 - - Of aramids kg. 5% -”;

(ii) for sub-heading 5402 59, tariff item 5402 59 90 and the entries relating
“5402 59 00 - - Other kg. 5% -”;
“5702 39 90 - - - Other m2 20% -”;
(19) in Chapter 61, in heading 6115, for sub-heading 6115 21 and the entries
“- Other panty hose and tights :”;
(a) for the entry in column (2) occurring against sub-heading
6213 90, the following shall be substituted, namely:—
“- Of other textile materials :”;
(b) for the entry in column (2) occurring against tariff item
6213 90 90, the following shall be substituted, namely:—
“- - - Other” ;
(a) for the entry in column (2) occurring against tariff item
“- - - For articles of apparel, of cotton”;
(b) for the entry in column (2) occurring against tariff item
“- - - For articles of apparel, of synthetic fibres”;
(c) for the entry in column (2) occurring against tariff item
“- - - For articles of apparel, of wool”;
(d) for the entry in column (2) occurring against tariff item
“- - - For articles of apparel, of silk”;
(e) for the entry in column (2) occurring against tariff item
“- - - For articles of apparel, of regenerated fibres”;
(f) for the entry in column (2) occurring against tariff item
“- - - For articles of apparel, of other fibres”;
(g) for the entry in column (2) occurring against tariff item
“- - - Stockings, socks, sockettes and the like, of cotton”;
(i) in heading 6301, for the entry in column (2) occurring against tariff item
“- Blankets (other than electric blankets) and travelling rugs,

of wool or of fine animal hair”;
(ii) in heading 6304, for the entry in column (2) occurring against tariff
item 6304 20 00, the following shall be substituted, namely:—
“- Bed nets specified in Sub-heading Note 1 to this Chapter”;
(iii) in heading 6310, for tariff items 6310 10 90 to 6310 90 10 and the
entries relating thereto, the following shall be substituted, namely:—
“6310 10 90 - - - Other kg. 20% -
6310 90 - Other :
6310 90 10 - - - Woollen rags kg. 20% -”;
(i) in Note 1, in introductive sentence, for the word “shaping:”, the word
“shaping :” shall be substituted;
(ii) in heading 6907, for sub-heading 6907 30, tariff item 6907 30 10,
sub-heading 6907 40, tariff item 6907 40 10 and the entries relating thereto, the
“6907 30 00 - Mosaic cubes and the like, other m2 15% -
than those of sub-heading 6907 40
6907 40 00 - Finishing ceramics m2 15% -”;
(i) after Sub-heading Note 3, the following Supplementary Note shall be
‘Supplementary Note:
For the purposes of heading 7104, “Diamonds” means—
(a) chemically produced stones which have essentially
the same chemical composition and crystal structure as a
particular natural diamond and are produced using various
methods including High Pressure High Temperature method
(HPHT) and Chemical Vapour Deposition method (CVD); or
(b) stones obtained artificially by various means, e.g.,
agglomerating, pressing or fusing together (usually with the
aid of a blow pipe) fragments of natural diamonds which
have generally been reduced to a powder.’;
(a) for tariff item 7104 21 00 and the entries relating thereto, the
“7104 21 - - Diamonds :
7104 21 10 - - - Industrial c/k 10% -
7104 21 20 - - - Non-industrial c/k 10% -”;
(b) for tariff item 7104 91 00 and the entries relating thereto, the
“7104 91 - - Diamonds :
7104 91 10 - - - Industrial c/k 10% -
7104 91 20 - - - Non-industrial c/k 10% -”;
(iii) in heading 7105, for tariff item 7105 10 00 and the entries relating
“7105 10 - Of diamonds :
7105 10 10 - - - Of heading 7102 c/k 10% -
7105 10 20 - - - Of heading 7104 c/k 10% -”;
(iv) in heading 7113,––
(a) for tariff items 7113 11 20 and 7113 11 30 and the entries relating
“- - - Other jewellery :
7113 11 41 - - - - Unstudded kg. 25% -
7113 11 42 - - - - Studded with pearls kg. 25% -
7113 11 43 - - - - Studded with diamonds of kg. 25% -
heading 7102
heading 7104
7113 11 45 - - - - Studded with other precious and kg. 25% -
semi-precious stones
7113 11 49 - - - - Other kg. 25% -”;
(b) for tariff items 7113 19 10 to 7113 19 50 and the entries relating
“- - - Of gold :
7113 19 11 - - - - Unstudded kg. 25% -
heading 7102
heading 7104
7113 19 19 - - - - Other kg. 25% -
--- Of platinum :
7113 19 21 - - - - Unstudded kg. 25% -
heading 7102
heading 7104
7113 19 29 - - - - Other kg. 25% -”;
(i) in heading 8414, for tariff item 8414 10 00 and the entries relating
“8414 10 - Vacuum pumps :

8414 10 10 - - - with maximum flow-rate greater u 7.5% -
than 5 m³/h (under standard
temperature (273 K (0 °C)) and
pressure (101.3 kPa) conditions)
8414 10 90 - - - Other u 7.5% -”;
(a) for tariff items 8419 50 10 to 8419 50 90 and the entries relating
“- - - with a heat transfer surface area of
greater than 0.15 m², and less than 20 m² :
8419 50 11 - - - - Shell and tube type u 7.5% -
8419 50 12 - - - - Plate type u 7.5% -
8419 50 13 - - - - Spiral type u 7.5% -
8419 50 19 - - - - Other u 7.5% -
--- Other :
8419 50 91 - - - - Shell and tube type u 7.5% -
8419 50 92 - - - - Plate type u 7.5% -
8419 50 93 - - - - Spiral type u 7.5% -
8419 50 99 - - - - Other u 7.5% -”;
(b) for tariff item 8419 89 10 and the entries relating thereto, the
“- - - Pressure vessels, reactors, columns
or towers or chemical storage tanks :
8419 89 11 - - - - Pressure vessels u 10% -
8419 89 12 - - - - Reactors with total internal u 10% -
(geometric) volume greater
than 0.1 m³ (100 l) and less
than 20 m³ (20000 l)
8419 89 13 - - - - Other reactors u 10% -
8419 89 14 - - - - Distillation or absorption columns u 10% -
of internal diameter greater than 0.1 m
8419 89 15 - - - - Other distillation or absorption u 10% -
columns
8419 89 16 - - - - Chemical storage tanks with a total u 10% -
internal (geometric) volume
greater than 0.1 m³ (100 l)
8419 89 17 - - - - Other chemical storage tanks u 10% -
8419 89 19 - - - - Other u 10% -”;
(a) for the entry in column (2) occurring against tariff item
“- - - Modems (modulators-demodulators) for xDSL based

Wireline Telephony”;
(b) tariff item 8517 62 40 and the entries relating thereto shall be
omitted;
(c) for the entry in column (2) occurring against tariff item
“- - - Multiplexers, statistical multiplexers for PDH based
Wireline Telephony”;
(d) in sub-heading 8517 69,––
(A) tariff item 8517 69 50 and the entries relating thereto shall
be omitted;
(B) for the entry in column (2) occurring against tariff item
“- - - Set top boxes for gaining access to internet for Wireline Telephony”;
(ii) for heading 8524, tariff items 8524 11 00 to 8524 99 00 and the entries
“8524 FLAT PANEL DISPLAY MODULES, WHETHER OR
NOT INCORPORATING TOUCH-SENSITIVE SCREENS
- Without drivers or control circuits :
8524 11 - - Of liquid crystals :
8524 11 10 - - - For the goods of sub-heading u 15% -
8471 30 or 8471 41
8517 13 or 8517 14
8528 72 or 8528 73
8524 11 90 - - - Other u 15% -
8524 12 - - Of organic light-emitting diodes (OLED) :
8471 30 or 8471 41
8517 13 or 8517 14
8528 72 or 8528 73
8524 12 90 - - - Other u 15% -
8524 19 - - Other :
8471 30 or 8471 41
8517 13 or 8517 14
8528 72 or 8528 73
8524 19 90 - - - Other u 15% -
- Other :
8524 91 - - Of liquid crystals :

8471 30 or 8471 41
8517 13 or 8517 14
8528 72 or 8528 73
8524 91 90 - - - Other u 15% -
8524 92 - - Of organic light-emitting diodes (OLED) :
8471 30 or 8471 41
8517 13 or 8517 14
8528 72 or 8528 73
8524 92 90 - - - Other u 15% -
8524 99 - - Other :
8471 30 or 8471 41
8517 13 or 8517 14
8528 72 or 8528 73
8524 99 90 - - - Other u 15% -”;
“8704 10 90 - - - Other u 40% -”.
THE FIFTH SCHEDULE

(See section 136)
In the Second Schedule to the Customs Tariff Act, for serial numbers 8 and 9 and the
entries relating thereto, the following serial numbers and entries shall be substituted,
namely:—
Sl. Chapter/heading/ Description of goods Rate of duty

No. sub-heading/Tariff Item
(1) (2) (3) (4)

“8. 1202 41 Groundnut in shell Rs. 1,125 per tonne
9. 1202 42 Groundnut kernel Rs. 1,500 per tonne”.
THE SIXTH SCHEDULE

(See section 172)
In the Seventh Schedule to the Finance Act, 2001, ––
“Rs. 230 per thousand” shall be substituted;
(iii) for the entry in column (4) occurring against tariff items 2402 20 30 and
2402 20 40, the entry “Rs. 510 per thousand” shall be substituted;
(iv) for the entry in column (4) occurring against tariff item 2402 20 50, the entry
(v) for the entry in column (4) occurring against tariff item 2402 20 90, the entry
(vi) for the entry in column (4) occurring against tariff item 2402 90 10, the entry
“Rs. 690 per thousand” shall be substituted.
THE SEVENTH SCHEDULE

[See section 135 (d)]
In the First Schedule to the Customs Tariff Act, in Chapter 90,––
(iii) for the entry in column (4) occurring against tariff item 9022 14 90, the entry
“15%” shall be substituted.
————
DR. REETA VASISHTA,

Secretary to the Govt. of India.
UPLOADED BY THE MANAGER, GOVERNMENT OF INDIA PRESS, MINTO ROAD, NEW DELHI–110002
AND PUBLISHED BY THE CONTROLLER OF PUBLICATIONS, DELHI–110054.
Kshitiz Digitally signed by Kshitiz
Mohan
Mohan Date: 2023.03.31 23:16:33

+05'30'
MGIPMRND—2884GI(S3)—31-03-2023.

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jftLVªh lañ Mhñ ,yñ—(,u)04@0007@2003—23 REGISTERED NO.

MINISTRY OF LAW AND JUSTICE

(b) the income-tax chargeable shall be computed as follows:—

(iii) the amount of income-tax determined in accordance with sub-clause (i)

Income-tax Act, being a non-resident except in case of deduction on income by way

(b) in the case of every individual or association of persons, except in case of an

(g) in the case of every company, other than a domestic company,—

(ii) distribution of income on offshore derivative instruments,

Provided also that if the premium is payable by a person for more

(II) in a case referred to in sub-clause (B) of

Provided also that nothing contained in the first proviso

Explanation.—For the purposes of this clause “Sikkimese” shall mean—

(46B) any income accruing or arising to,—

(q) clause (49) shall be omitted.

(b) in Explanation 4,—

as application for charitable or religious purposes only to the extent

after affording a reasonable opportunity of being heard;";

'Provided that in case of an assessee where the amount or aggregate of the

"(3) Notwithstanding anything contained in sub-section (2) of section 32 and

(C) a fund notified by the Central Government in the

"(10) Where the capital asset, being—

'50AA. Notwithstanding anything contained in clause (42A) of section 2 or Special

Specifed sum=A-B-C (which shall be deemed to be zero if sum of B and C

'(iii) "strategic disinvestment" means sale of shareholding by the Central

clause (23C) of section 10 or section 11 or section 12 for any

(ii) in the second proviso,—

(a) in clause (ii),—

(1) in the opening portion, after the word, brackets and

(2) in sub-clause (b), for item (B), the following item

"(B) if he is not so satisfied, pass an order in

(I) in a case referred to in clause (ii) or

(II) in a case referred to in sub-clause (B) of

after affording it a reasonable opportunity of being

(b) for clause (iii), the following clause shall be substituted,

"(iii) where the application is made under

43. In section 87 of the Income-tax Act,— Amendment of

Omission of 45. Section 88 of the Income-tax Act shall be omitted.

52. In section 115BAC of the Income-tax Act,— Amendment of

(c) after sub-section (1), the following sub-section shall be inserted,

"(1A) Notwithstanding anything contained in this Act but subject

Sl. No. Total income Rate of tax

(1) (2) (3)

1. Upto Rs.3,00,000 Nil

2. From Rs.3,00,001 to Rs.6,00,000 5 per cent.

3. From Rs.6,00,001 to Rs.9,00,000 10 per cent.

4. From Rs.9,00,001 to Rs.12,00,000 15 per cent.

5. From Rs.12,00,001 to Rs.15,00,000 20 per cent.

6. Above Rs.15,00,000 30 per cent.";

(C) with effect from the 1st day of April, 2024,—

(i) without any exemption or deduction under the provisions

than those as may be prescribed for this purpose) or clause (17) or

"Provided further that in a case where,—

(i) the assessee has not exercised the option under

(ii) the income-tax on the total income of the assessee is

(iii) there is a depreciation allowance in respect of a block of

corresponding adjustment shall be made to the written down value of

(c) for sub-section (4), the following sub-section shall be substituted,

'(4) In case of a person, having a Unit in the International Financial

(ii) whose total income is computed under sub-section (1A),

the conditions contained in sub-section (2) shall be modified to the extent