1. Short title, extent and commencement
2. Definitions
3. Previous year defined
CHAPTER II
BASIS OF CHARGE
4. Charge of income-tax
5. Scope of total income
5A. Apportionment of income between spouses governed by Portuguese Civil
Code
6. Residence in India
7. Income deemed to be received
8. Dividend income
9. Income deemed to accrue or arise in India
CHAPTER III
INCOMES WHICH DO NOT FORM
PART OF TOTAL INCOME
10. Incomes not included in total income
10A. Special provision in respect of newly established undertakings in
free trade zone, etc.
10B. Special provisions in respect of newly established hundred per cent
export-oriented undertakings
10BA. Special provisions in respect of
export of certain articles or things
10BB. Meaning of computer programmes in certain cases
10C. Special provision in respect of certain industrial undertakings in
North-Eastern Region
11. Income from property held for charitable or religious purposes
12. Income of trusts or institutions from contributions
12A. Conditions as to registration of trusts, etc.
12AA. Procedure for registration
13. Section 11 not to apply in certain cases
13A. Special provision relating to incomes of political parties
CHAPTER IV
COMPUTATION OF TOTAL INCOME
Heads of income
14. Heads of income
14A. Expenditure incurred in relation to income not includible in total
income
A.—Salaries
15. Salaries
16. Deductions from salaries
17. Salary, perquisite and profits in lieu of salary defined
[Chapter sub-heading
'B.—Interest on securities' and sections 18 to 21 omitted by the Finance
Act, 1988 w.e.f. 1-4-1989.]
C.—Income from house property
22. Income from house property
23. Annual value how determined
24. Deductions from income from house property
25. Amounts not deductible from income from house property
25A. Special provision for cases where unrealised rent allowed as
deduction is realised subsequently
25AA. Unrealised rent received subsequently to be charged to income-tax
25B. Special provision for arrears of rent received
26. Property owned by co-owners
27. Owner of house property, annual charge, etc., defined
D.—Profits and gains of
business or profession
28. Profits and gains of business or profession
29. Income from profits and gains of business or profession, how computed
30. Rent, rates, taxes, repairs and insurance for buildings
31. Repairs and insurance of machinery, plant and furniture
32. Depreciation
32A. Investment allowance
32AB. Investment deposit account
33. Development rebate
33A. Development allowance
33AB. Tea Development Account, Coffee Development Account and Rubber
Development Account]
33ABA. Site Restoration Fund
33AC. Reserves for shipping business
33B. Rehabilitation allowance
34. Conditions for depreciation allowance and development rebate
34A. Restriction on unabsorbed depreciation and unabsorbed investment
allowance for limited period in case of certain domestic companies
35. Expenditure on scientific research
35A. Expenditure on acquisition of patent rights or copyrights
35AB. Expenditure on know-how
35ABB. Expenditure for obtaining licence to operate telecommunication
services
35AC. Expenditure on eligible projects or schemes
35B. Export markets development allowance
35C. Agricultural development
allowance
35CC. Rural development allowance
35CCA. Expenditure by way of payment to associations and institutions for
carrying out rural development programmes
35CCB. Expenditure by way of payment to associations and institutions for
carrying out programmes of conservation of natural resources
35D. Amortisation of certain preliminary expenses
35DD. Amortisation of expenditure in case of amalgamation or demerger
35DDA. Amortisation of expenditure incurred under voluntary retirement
scheme
35E. Deduction for expenditure on prospecting, etc., for certain minerals
36. Other deductions
37. General
38. Building, etc., partly used for business, etc., or not exclusively so
used
39. Managing agency commission
40. Amounts not deductible
40A. Expenses or payments not deductible in certain circumstances
41. Profits chargeable to tax
42. Special provision for deductions in the case of business for
prospecting, etc., for mineral oil
43. Definitions of certain terms relevant to income from profits and gains
of business or profession
43A. Special provisions consequential to changes in rate of exchange of
currency
43B. Certain deductions to be only on actual payment
43C. Special provision for computation of cost of acquisition of certain
assets
43D. Special provision in case of income of public financial institutions,
public companies, etc.
44. Insurance business
44A. Special provision for deduction in the case of trade, professional or
similar association
44AA. Maintenance of accounts by certain persons carrying on profession or
business
44AB. Audit of accounts of certain persons carrying on business or
profession
44AC. Special provision for computing profits and gains from the business
of trading in certain goods
44AD. Special provision for computing profits and gains of business of
civil construction, etc.
44AE. Special provision for computing profits and gains of business of
plying, hiring or leasing goods carriages
44AF. Special provisions for computing profits and gains of retail
business
44B. Special provision for computing profits and gains of shipping
business in the case of non-residents
44BB. Special provision for computing profits and gains in connection with
the business of exploration, etc., of mineral oils
44BBA. Special provision for computing profits and gains of the business
of operation of aircraft in the case of non-residents
44BBB. Special provision for computing profits and gains of foreign
companies engaged in the business of civil construction, etc., in certain
turnkey power projects
44C. Deduction of head office expenditure in the case of non-residents
44D. Special provisions for computing income by way of royalties, etc., in
the case of foreign companies
44DA. Special provision for computing
income by way of royalties, etc., in case of non-residents
E.— Capital gains
45. Capital gains
46. Capital gains on distribution of assets by companies in liquidation
46A. Capital gains on purchase by company of its own shares or other
specified securities
47. Transactions not regarded as transfer
47A. Withdrawal of exemption in certain cases
48. Mode of computation
49. Cost with reference to certain modes of acquisition
50. Special provision for computation of capital gains in case of
depreciable assets
50A. Special provision for cost of acquisition in case of depreciable
asset
50B. Special provision for computation of capital gains in case of slump
sale
50C. Special provision for full value of consideration in certain cases
51. Advance money received
52. Consideration for transfer in cases of understatement
53. Exemption of capital gains from a residential house
54. Profit on sale of property used for residence
54A. Relief of tax on capital gains in certain cases
54B. Capital gain on transfer of land used for agricultural purposes not
to be charged in certain cases
54C. Capital gain on transfer of jewellery held for personal use not to be
charged in certain cases
54D. Capital gain on compulsory acquisition of lands and buildings not to
be charged in certain cases
54E. Capital gain on transfer of capital assets not to be charged in
certain cases
54EA. Capital gain on transfer of long-term capital assets not to be
charged in the case of investment in specified securities]
54EB. Capital gain on transfer of long-term capital assets not to be
charged in certain cases
54EC. Capital gain not to be charged on investment in certain bonds
54ED. Capital gain on transfer of certain listed securities or unit, not
to be charged in certain cases
54F. Capital gain on transfer of certain capital assets not to be charged
in case of investment in residential house
54G. Exemption of capital gains on transfer of assets in cases of shifting
of industrial undertaking from urban area
54H. Extension of time for acquiring new asset or depositing or investing
amount of capital gain
55. Meaning of adjusted, cost of improvement and cost of acquisition
55A. Reference to Valuation Officer
F.—Income from other sources
56. Income from other sources
57. Deductions
58. Amounts not deductible
59. Profits chargeable to tax
CHAPTER V
INCOME OF OTHER PERSONS,
INCLUDED IN ASSESSEE'S TOTAL INCOME
60. Transfer of income where there is no transfer of assets
61. Revocable transfer of assets
62. Transfer irrevocable for a specified period
63. Transfer and revocable transfer defined
64. Income of individual to include income of spouse, minor child, etc.
65. Liability of person in respect of income included in the income of
another person
CHAPTER VI
AGGREGATION OF INCOME AND SET
OFF OR CARRY FORWARD OF LOSS
Aggregation of income
66. Total income
67. Method of computing a partner's
share in the income of the firm
67A. Method of computing a member's share in income of association of
persons or body of individuals
68. Cash credits
69. Unexplained investments
69A. Unexplained money, etc.
69B. Amount of investments, etc., not fully disclosed in books of account
69C. Unexplained expenditure, etc.
69D. Amount borrowed or repaid on
hundi
70. Set off of loss from one source against income from another source
under the same head of income
71. Set off of loss from one head against income from another
71A. Transitional provisions for set off of loss under the head income
from house property
71B. Carry forward and set-off of loss from house property
72. Carry forward and set off of business losses
72A. Provisions relating to carry forward and set off of accumulated loss
and unabsorbed depreciation allowance in amalgamation or demerger, etc.
[A1]72AA.
Provisions relating to carry forward and set-off of accumulated loss and
unabsorbed depreciation allowance in scheme of amalgamation of banking
company in certain cases
73. Losses in speculation business
74. Losses under the head Capital gains
74A. Losses from certain specified sources falling under the head Income
from other sources
75. Losses of firms
76 and 77. Substituted along with section 75 by section 75, as above, by
the Finance Act, 1992, w.e.f. 1-4-1993.htm
78. Carry forward and set off of losses in case of change in constitution
of firm or on succession
79. Carry forward and set off of losses in the case of certain companies
80. Submission of return for losses
CHAPTER
VIA
DEDUCTIONS TO BE MADE IN
COMPUTING TOTAL INCOME
A.—General
80A. Deductions to be made in computing total income
80AA. Computation of deduction under
section 80M
80AB. Deductions to be made with reference to the income included in the
gross total income
80B. Definitions
B.—Deductions in respect of
certain payments
[A2]80C.
Deduction in respect of life insurance premia deferred annuity,
contributions to provident fund, subscription to certain equity shares or
debentures etc.
80CC. Deduction in respect of
investment in certain new shares
80CCA. Deduction in respect of deposits under National Savings Scheme or
payment to a deferred annuity plan
80CCB. Deduction in respect of investment made under Equity Linked Savings
Scheme
80CCC. Deduction in respect of contribution to certain pension funds
80CCD. Deduction in respect of
contribution to pension scheme of Central Government
[A3]80CCE.
Limit on deductions under sections 80C, 80CCC and 80CCD
80D. Deduction in respect of medical insurance premia
80DD. Deduction in respect of
maintenance including medical treatment of a dependant who is a person
with disability
80DDB. Deduction in respect of medical treatment, etc.
80E. Deduction in respect of repayment of loan taken for higher education
80F. Deduction in respect of
educational expenses in certain cases
80FF. Deduction in respect of expenses
on higher education in certain cases
80G. Deduction in respect of donations to certain funds, charitable
institutions, etc.
80GG. Deduction in respect of rents paid
80GGA. Deduction in respect of certain donations for scientific research
or rural development
80GGB. Deduction in respect of contributions given by companies to
political parties
80GGC. Deduction in respect of contributions given by any person to
political parties
C.—Deductions in respect of
certain incomes
80H. Deduction in case of new
industrial undertakings employing displaced persons, etc
80HH. Deduction in respect of profits and gains from newly estab-lished
industrial undertakings or hotel business in backward areas
80HHA. Deduction in respect of profits and gains from newly established
small-scale industrial undertakings in certain areas
80HHB. Deduction in respect of profits and gains from projects outside
India
80HHBA. Deduction in respect of profits and gains from housing projects in
certain cases
80HHC. Deduction in respect of profits retained for export business
80HHD. Deduction in respect of earnings in convertible foreign exchange
80HHE. Deduction in respect of profits from export of computer software,
etc.
80HHF. Deduction in respect of profits and gains from export or transfer
of film software, etc.
80-I. Deduction in respect of profits and gains from industrial
undertakings after a certain date, etc.
80-IA. Deductions in respect of profits and gains from industrial
undertakings or enterprises engaged in infrastructure development, etc.
80-IB. Deduction in respect of profits and gains from certain industrial
undertakings other than infrastructure development undertakings
80-IC. Special provisions in respect
of certain undertakings or enterprises in certain special category States
80J. Deduction in respect of profits and gains from newly established
industrial undertakings or ships or hotel business in certain cases
80JJ. Deduction in respect of profits
and gains from business of poultry farming
80JJA. Deduction in respect of profit and gains from business of
collecting and processing of bio-degradable waste
80JJAA. Deduction in respect of employment of new workmen
80K. Deduction in respect of dividends
attributable to profits and gains from new industrial undertakings or
ships or hotel business
[A4]80L.
Deductions in respect of interest on certain securities, dividends, etc.
80LA. Deduction in respect of certain
incomes of Offshore Banking Units
80M. Deduction in respect of certain
inter-corporate dividends
80MM. Deduction in the case of an Indian company in respect of royalties,
etc., received from any concern in India
80N. Deduction in respect of dividends received from certain foreign
companies
80-O. Deduction in respect of royalties, etc., from certain foreign
enterprises
80P. Deduction in respect of income of co-operative societies
80Q. Deduction in respect of profits and gains from the business of
publication of books
80QQ. Deduction in respect of profits and gains from the business of
publication of books.
80QQA. Deduction in respect of professional income of authors of text
books in Indian languages
80QQB. Deduction in respect of royalty
income, etc., of authors of certain books other than text books
80R. Deduction in respect of remuneration from certain foreign sources in
the case of professors, teachers, etc.
80RR. Deduction in respect of professional income from foreign sources in
certain cases
80RRA. Deduction in respect of remuneration received for services rendered
outside India
80RRB. Deduction in respect of royalty
on patents
80S. Deduction in respect of
compensation for termination of managing agency, etc., in the case of
assessees other than companies
80T. Deduction in respect of long-term
capital gains in the case of assessees other than companies
80TT. Deduction in respect of winnings
from lottery
[D.—Other
deductions
80U. Deduction in case of a person
with disability
80V. Deduction from gross total income of the parent in certain cases
80VV. Deduction in respect of expenses incurred in connection with certain
proceedings under the Act
CHAPTER VI-B
RESTRICTION ON CERTAIN
DEDUCTIONS IN THE CASE OF COMPANIES
80VVA. Restriction on certain deductions in the case of companies
CHAPTER VII
INCOMES FORMING PART OF TOTAL
INCOME ON WHICH NO INCOME-TAX IS PAYABLE
81. Income of co-operative societies
82. Dividends from co-operative society
83. Income of marketing society
84. Income of newly established industrial undertakings or hotels
85. Dividend from new industrial undertaking or hotel
85A. Deduction of tax on inter-corporate dividends
85B. Deduction of tax on dividends received from certain foreign companies
85C. Deduction of tax on royalties, etc., received from certain foreign
companies
86. Share of member of an association of persons or body of individuals in
the income of the association or body
86A. Deduction from tax on certain securities
CHAPTER VIII
[3][REBATES AND RELIEFS]
[4][A.—Rebate of income-tax
87. Rebate to be allowed in computing income-tax
87A. Rebate on educational expenses in certain cases
88. Rebate on life insurance premia, contribution to provident fund, etc.
88A. Rebate in respect of investment
in certain new shares or units
[A5]88B.
Rebate of income-tax in case of individuals of sixty-five years or above
[A6]88C.
Rebate of income-tax in case of women below sixty-five years
[A7]88D.
Rebate of income-tax in case of certain individuals
88E. Rebate in respect of securities
transaction tax
89. Relief when salary, etc., is paid in arrears or in advance
89A. Tax relief in relation to export turnover
Chapter IX
Double Taxation Relief
90. Agreement with foreign countries
91. Countries with which no agreement exists
CHAPTER X
SPECIAL PROVISIONS RELATING
TO AVOIDANCE OF TAX
92. Computation of income from international transaction having regard to
arm's length price
92A. Meaning of associated enterprise
92B. Meaning of international transaction
92C. Computation of arm's length price
92CA. Reference to Transfer Pricing Officer
92D. Maintenance, keeping of information and document by persons entering
into an international transaction
92E. Report from an accountant to be furnished by persons entering into
international transaction
92F. Definitions of certain terms relevant to computation of arm's length
price, etc.
93. Avoidance of income-tax by transactions resulting in transfer of
income to non-residents
94. Avoidance of tax by certain transactions in securities
[CHAPTER XI
ADDITIONAL INCOME-TAX ON
UNDISTRIBUTED PROFITS
Chapter XI was omitted by the Finance Act,
1987, w.e.f. 1-4-1988. Sections 95 to 103 relating to super-tax were
omitted by the Finance Act, 1965, w.e.f. 1-4-1965 and sections 104 to 109
were omitted by the Finance Act, 1987, w.e.f. 1-4-1988.]
Chapter XII
Determination of tax in
certain special cases
110. Determination of tax where total income includes income on which no
tax is payable
111. Tax on accumulated balance of recognised provident fund
111A. Tax on short term capital gains
in certain cases
112. Tax on long-term capital gains
112A. Tax on interest on National Savings Certificates (First Issue)
113. Tax in the case of block assessment of search case
114. Tax on capital gains in cases of
assessees other than companies
115. Tax on capital gains in case of
companies
115A. Tax on dividends, royalty and technical service fees in the case of
foreign companies
115AB. Tax on income from units purchased in foreign currency or capital
gains arising from their transfer
115AC. Tax on income from bonds or Global Depository Receipts purchased in
foreign currency or capital gains arising from their transfer
115ACA. Tax on income from Global Depository Receipts purchased in foreign
currency or capital gains arising from their transfer
115AD. Tax on income of Foreign Institutional Investors from securities or
capital gains arising from their transfer
115B. Tax on profits and gains of life insurance business
115BB. Tax on winnings from lotteries, crossword puzzles, races including
horse races, card games and other games of any sort or gambling or betting
of any form or nature whatsoever
115BBA. Tax on non-resident sportsmen or sports associations
115BBB. Tax on income from units of an open-ended equity oriented fund of
the Unit Trust of India or of Mutual Funds
CHAPTER XIIA
SPECIAL PROVISIONS RELATING
TO CERTAIN INCOMES OF NON-RESIDENTS
115C. Definitions
115D. Special provision for computation of total income of non-residents
115E. Tax on investment income and long-term capital gains
115F. Capital gains on transfer of foreign exchange assets not to be
charged in certain cases
115G. Return of income not to be filed in certain cases
115H. Benefit under Chapter to be available in certain cases even after
the assessee becomes resident
115-I. Chapter not to apply if the assessee so chooses
CHAPTER XII-B
SPECIAL PROVISIONS RELATING
TO CERTAIN COMPANIES
115J. Special provisions relating to certain companies
115JA. Deemed income relating to certain companies
115JAA. Tax credit in respect of tax paid on deemed income relating to
certain companies
115JB. Special provision for payment of tax by certain companies
CHAPTER XIIC
Special provisions
relating to retail trade, etc.
Omitted by the
Finance Act, 1997, w.e.f. 1-4-1998. It was inserted by the Finance Act,
1992, w.e.f. 1-4-1993]
Chapter XIID
Special provisions relating
to tax on distributed profits of domestic companies
115-O. Tax on distributed profits of domestic companies
115P. Interest payable for non-payment of tax by domestic companies
115Q. When company is deemed to be in default
Chapter XII-E
Special provisions relating
to tax on distributed income
115R. Tax on distributed income to unit holders
115S. Interest payable for non-payment of tax
115T. Unit Trust of India or Mutual Fund to be assessee in default
Chapter XII-F
Special provisions relating
to tax on income Received from venture capital companies and venture
capital funds
115U. Tax on income in certain cases
Chapter XII-G
Special Provisions Relating
to Income of Shipping Companies
A.—Meaning of certain
expressions
115V. Definitions
B.—Computation of tonnage
income from business of operating qualifying ships
115VA. Computation of profits and gains from the business of operating
qualifying ships
115VB. Operating ships
115VC. Qualifying company
115VD. Qualifying ship
115VE. Manner of computation of income under tonnage tax scheme
115VF. Tonnage income
115VG. Computation of tonnage income
115VH. Calculation in case of joint operation, etc.
115VI. Relevant shipping income
115VJ. Treatment of common costs
115VK. Depreciation
115VL. General exclusion of deduction and set off, etc.
115VM. Exclusion of loss
115VN. Chargeable gains from transfer of tonnage tax assets
115V-O. Exclusion from section 115JB
C.—Procedure for option of
tonnage tax scheme
115VP. Method and time of opting for tonnage tax scheme
115VQ. Period for which tonnage tax
option to remain in force
115VR. Renewal of tonnage tax scheme
115VS. Prohibition to opt for tonnage tax scheme in certain cases
D.—Conditions for
applicability of tonnage tax scheme
115VT. Transfer of profits to Tonnage
Tax Reserve Account
115VU. Minimum Training requirement for tonnage tax company
115VV. Limit for charter in of tonnage
115VW. Maintenance and audit of accounts
115VX. Determination of tonnage
E.—Amalgamation and demerger
of shipping companies
115VY. Amalgamation
115VZ. Demerger
F.—Miscellaneous
115VZA. Effect of temporarily ceasing to operate qualifying ships
115VZB. Avoidance of tax
