(Section 1 to 2)|(Section 3 to 30)|(Section 31 to 60)|(Section 61 to 90)|(Section 91 to 150)|(Section 151 to 170)|(Section 171 to 189)
Amendment of section 153B.
61. In section 153B of the Income-tax Act,—
(a)in sub-section (1),—
(i)in clause (a), after the words “six assessment years”, the words “and for the relevant assessment year or years” shall be inserted;
(ii)for the second and third provisos, the following provisos shall be substituted, namely:—
‘Provided further that in the case where the last of the authorisations for search under section 132 or for requisition under section 132A was executed during the financial year commencing on the 1st day of April, 2018,—
(i)the provisions of clause (a) or clause (b) of this sub-section shall have effect, as if for the words “twenty-one months”, the words “eighteen months” had been substituted;
(ii)the period of limitation for making the assessment or reassessment in case of other person referred to in section 153C, shall be the period of eighteen months from the end of the financial year in which the last of the authorisations for search under section 132 or for requisition under section 132A was executed or twelve months from the end of the financial year in which books of account or documents or assets seized or requisitioned are handed over under section 153C to the Assessing Officer having jurisdiction over such other person, whichever is later:
Provided also that in the case where the last of the authorisations for search under section 132 or for requisition under section 132A was executed during the financial year commencing on or after the 1st day of April, 2019,—
(i)the provisions of clause (a) or clause (b) of this sub-section shall have effect, as if for the words “twenty-one months”, the words “twelve months” had been substituted;
(ii)the period of limitation for making the assessment or reassessment in case of other person referred to in section 153C, shall be the period of twelve months from the end of the financial year in which the last of the authorisations for search under section 132 or for requisition under section 132A was executed or twelve months from the end of the financial year in which books of account or documents or assets seized or requisitioned are handed over under section 153C to the Assessing Officer having jurisdiction over such other person, whichever is later:
Provided also that in case where the last of the authorisations for search under section 132 or for requisition under section 132A was executed and during the course of the proceedings for the assessment or reassessment of total income, a reference under sub-section (1) of section 92CA is made, the period available for making an order of assessment or reassessment shall be extended by twelve months:
Provided also that in case where during the course of the proceedings for the assessment or reassessment of total income in case of other person referred to in section 153C, a reference under sub-section (1) of section 92CA is made, the period available for making an order of assessment or reassessment in case of such other person shall be extended by twelve months.’;
(b)in sub-section (3), the following proviso shall be inserted and shall be deemed to have been inserted with effect from the 1st day of June, 2016, namely:—
“Provided that where a notice under section 153A or section 153C has been issued prior to the 1st day of June, 2016 and the assessment has not been completed by such date due to exclusion of time referred to in the Explanation, such assessment shall be completed in accordance with the provisions of this section as it stood immediately before its substitution by the Finance Act, 2016 (28 of 2016).”;
(c)in the Explanation, after the second proviso, the following proviso shall be inserted, namely:—
“Provided also that where a proceeding before the Settlement Commission abates under section 245HA, the period of limitation available under this section to the Assessing Officer for making an order of assessment or reassessment, as the case may be, shall, after the exclusion of the period under sub-section (4) of section 245HA, be not less than one year; and where such period of limitation is less than one year, it shall be deemed to have been extended to one year.”.
Amendment of section 153C.
62. In section 153C of the Income-tax Act, in sub-section (1),—
(a)in the long line, after the words “total income of such other person”, the words “for six assessment years immediately preceding the assessment year relevant to the previous year in which search is conducted or requisition is made and” shall be inserted;
(b)in the second proviso, after the words “requisition is made”, the words, brackets, figures and letter “and for the relevant assessment year or years as referred to in sub-section (1) of section 153A” shall be inserted.
Amendment of section 155.
63. In section 155 of the Income-tax Act, after sub-section (14), the following sub-section shall be inserted with effect from the 1st day of April, 2018, namely:—
“(14A) Where in the assessment for any previous year or in any intimation or deemed intimation under sub-section (1) of section 143 for any previous year, credit for income-tax paid in any country outside India or a specified territory outside India referred to in section 90, section 90A or section 91 has not been given on the ground that the payment of such tax was under dispute, and if subsequently such dispute is settled; and the assessee, within six months from the end of the month in which the dispute is settled, furnishes to the Assessing Officer evidence of settlement of dispute and evidence of payment of such tax along with an undertaking that no credit in respect of such amount has directly or indirectly been claimed or shall be claimed for any other assessment year, the Assessing Officer shall amend the order of assessment or any intimation or deemed intimation under sub-section (1) of section 143, as the case may be, and the provisions of section 154 shall, so far as may be, apply thereto:
Provided that the credit of tax which was under dispute shall be allowed for the year in which such income is offered to tax or assessed to tax in India.”.
Insertion of new section 194-IB.
64. After section 194-IA of the Income-tax Act, the following section shall be inserted with effect from the 1st day of June, 2017, namely:—
‘194-IB. Payment of rent by certain individuals or Hindu undivided family.—(1) Any person, being an individual or a Hindu undivided family (other than those referred to in the second proviso to section 194-I), responsible for paying to a resident any income by way of rent exceeding fifty thousand rupees for a month or part of a month during the previous year, shall deduct an amount equal to five per cent of such income as income-tax thereon.
(2) The income-tax referred to in sub-section (1) shall be deducted on such income at the time of credit of rent, for the last month of the previous year or the last month of tenancy, if the property is vacated during the year, as the case may be, to the account of the payee or at the time of payment thereof in cash or by issue of a cheque or draft or by any other mode, whichever is earlier.
(3) The provisions of section 203A shall not apply to a person required to deduct tax in accordance with the provisions of this section.
(4) In a case where the tax is required to be deducted as per the provisions of section 206AA, such deduction shall not exceed the amount of rent payable for the last month of the previous year or the last month of the tenancy, as the case may be.
Explanation.—For the purposes of this section, “rent” means any payment, by whatever name called, under any lease, sub-lease, tenancy or any other agreement or arrangement for the use of any land or building or both.’.
Insertion of new section 194-IC.
65. After section 194-IB of the Income-tax Act as so inserted, the following section shall be inserted, namely:—
“194-IC. Payment under specified agreement.—Notwithstanding anything contained in section 194-IA, any person responsible for paying to a resident any sum by way of consideration, not being consideration in kind, under the agreement referred to in sub-section (5A) of section 45, shall at the time of credit of such sum to the account of the payee or at the time of payment thereof in cash or by issue of a cheque or draft or by any other mode, whichever is earlier, deduct an amount equal to ten per cent of such sum as income-tax thereon.”.
Amendment of section 194J.
66. In section 194J of the Income-tax Act, after the third proviso and before the Explanation, the following proviso shall be inserted with effect from the 1st day of June, 2017, namely:—
“Provided also that the provisions of this section shall have effect, as if for the words “ten per cent”, the words “two per cent” had been substituted in the case of a payee, engaged only in the business of operation of call centre.”.
Amendment of section 194LA.
67. In section 194LA of the Income-tax Act, after the proviso and before the Explanation, the following proviso shall be inserted, namely:—
“Provided further that no deduction shall be made under this section where such payment is made in respect of any award or agreement which has been exempted from levy of income-tax under section 96 of the Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013 (30 of 2013).”.
Amendment of section 194LC.
68. In section 194LC of the Income-tax Act, in sub-section (2),—
(a)in clause (i), with effect from the 1st day of April, 2018,—
(A)in sub-clauses (a) and (c), for the figures, letters and words “1st day of July, 2017”, the figures, letters and words “1st day of July, 2020” shall be substituted;
(B)in the long line, for the word “and”, the word “or” shall be substituted;
(b)after clause (i), the following clause shall be inserted and shall be deemed to have been inserted with effect from the 1st day of April, 2016, namely:—
“(ia)in respect of monies borrowed by it from a source outside India by way of issue of rupee denominated bond before the 1st day of July, 2020, and”.
Amendment of section 194LD.
69. In section 194LD of the Income-tax Act, in sub-section (2), for the figures, letters and words “1st day of July, 2017”, the figures, letters and words “1st day of July, 2020” shall be substituted with effect from the 1st day of April, 2018.
Amendment of section 197A.
70. In section 197A of the Income-tax Act, with effect from the 1st day of June, 2017,—
(a)in sub-section (1A), after the word, figures and letter “section 194A” at both the places where they occur, the words, figures and letter “or section 194D” shall be inserted;
(b)in sub-section (1C), after the word, figures and letter “section 194A” at both the places where they occur, the words, figures and letter “or section 194D” shall be inserted.
Amendment of section 204.
71. In section 204 of the Income-tax Act, after clause (iia), the following clause shall be inserted, namely:—
“(iib)in the case of furnishing of information relating to payment to a non-resident, not being a company, or to a foreign company, of any sum, whether or not chargeable under the provisions of this Act, the payer himself, or, if the payer is a company, the company itself including the principal officer thereof;”.
Amendment of section 206C.
72. In section 206C of the Income-tax Act,—
(a)sub-section (1D) shall be omitted;
(b)sub-section (1E) shall be omitted;
(c)in sub-sections (2), (3), (3A) and sub-section (9), the words, brackets, figure and letter “or sub-section (1D)” wherever they occur, shall be omitted;
(d)in sub-section (6A), in the first proviso, the words, brackets, figure and letter “, other than a person referred to in sub-section (1D),” shall be omitted;
(e)in sub-section (7), in the proviso, the words, brackets, figure and letter “, other than a person referred to in sub-section (1D),” shall be omitted;
(f)in the Explanation occurring after sub-section (11),—
(A)in clause (aa),—
(I)sub-clause (ii) shall be omitted;
(II)after sub-clause (ii), the following sub-clause shall be inserted, namely:—
“(iii)sub-section (1F) means a person who obtains in any sale, goods of the nature specified in the said sub-section, but does not include,—
(A)the Central Government, a State Government and an embassy, a High Commission, legation, commission, consulate and the trade representation of a foreign State; or
(B)a local authority as defined in Explanation to clause (20) of section 10; or
(C)a public sector company which is engaged in the business of carrying passengers.”;
(B)clause (ab) shall be omitted.
(C)in clause (c), for the words, brackets, figures and letters “or sub-section (1D) are sold or services referred to in sub-section (1D) are provided”, the words “are sold” shall be substituted.
Insertion of new section 206CC.
73. After section 206CB of the Income-tax Act, the following section shall be inserted, namely:—
‘206CC. Requirement to furnish Permanent Account number by collectee.—(1) Notwithstanding anything contained in any other provisions of this Act, any person paying any sum or amount, on which tax is collectible at source under Chapter XVII-BB (herein referred to as collectee) shall furnish his Permanent Account Number to the person responsible for collecting such tax (herein referred to as collector), failing which tax shall be collected at the higher of the following rates, namely:—
(i)at twice the rate specified in the relevant provision of this Act; or
(ii)at the rate of five per cent.
(2) No declaration under sub-section (1A) of section 206C shall be valid unless the person furnishes his Permanent Account Number in such declaration.
(3) In case any declaration becomes invalid under sub-section (2), the collector shall collect the tax at source in accordance with the provisions of sub-section (1).
(4) No certificate under sub-section (9) of section 206C shall be granted unless the application made under that section contains the Permanent Account Number of the applicant.
(5) The collectee shall furnish his Permanent Account Number to the collector and both shall indicate the same in all the correspondence, bills, vouchers and other documents which are sent to each other.
(6) Where the Permanent Account Number provided to the collector is invalid or does not belong to the collectee, it shall be deemed that the collectee has not furnished his Permanent Account Number to the collector and the provisions of sub-section (1) shall apply accordingly.
(7) The provisions of this section shall not apply to a non-resident who does not have permanent establishment in India.
Explanation.—For the purposes of this sub-section, the expression “permanent establishment” includes a fixed place of business through which the business of the enterprise is wholly or partly carried on.’.
Amendment of section 211.
74. In section 211 of the Income-tax Act, in sub-section (1), in clause (b), for the words, figures and letters “an eligible assessee in respect of an eligible business referred to in section 44AD”, the words, brackets, figures and letters “an assessee who declares profits and gains in accordance with the provisions of sub-section (1) of section 44AD or sub-section (1) of section 44ADA, as the case may be” shall be substituted.
Amendment of section 234C.
75. In section 234C of the Income-tax Act, in sub-section (1),—
(i)in clause (a), for the words, figures and letters “an eligible assessee in respect of the eligible business referred to in section 44AD”, the words, brackets and letter “the assessee referred to in clause (b)” shall be substituted;
(ii)in clause (b), for the words, figures and letters “an eligible assessee in respect of the eligible business referred to in section 44AD”, the words, brackets, figures and letters “an assessee who declares profits and gains in accordance with the provisions of sub-section (1) of section 44AD or sub-section (1) of section 44ADA, as the case may be” shall be substituted;
(iii)in the first proviso,—
(A)in clause (c), for the words “first time,” occurring at the end, the words “first time; or” shall be substituted;
(B)after clause (c) and before the long line, the following clause shall be inserted, namely:—
“(d)income of the nature referred to in sub-section (1) of section 115BBDA,”;
(C)in the long line, after the words, brackets and letter “or clause (c)”, the words, brackets and letter “or clause (d)” shall be inserted.
Insertion of new section 234F.
76. After section 234E of the Income-tax Act, the following section shall be inserted with effect from the 1st day of April, 2018, namely:—
“234F. Fees for default in furnishing return of income.—(1) Without prejudice to the provisions of this Act, where a person required to furnish a return of income under section 139, fails to do so within the time prescribed in sub-section (1) of said section, he shall pay, by way of fee, a sum of,—
(a)five thousand rupees, if the return is furnished on or before the 31st day of December of the assessment year;
(b)ten thousand rupees in any other case:
Provided that if the total income of the person does not exceed five lakh rupees, the fee payable under this section shall not exceed one thousand rupees.
(2) The provisions of this section shall apply in respect of return of income required to be furnished for the assessment year commencing on or after the 1st day of April, 2018.”.
Insertion of new section 241A.
77. After section 241 of the Income-tax Act [as it stood immediately before its omission by section 81 of the Finance Act, 2001 (14 of 2001)], the following section shall be inserted, namely:—
“241A. Withholding of refund in certain cases.—For every assessment year commencing on or after the 1st day of April, 2017, where refund of any amount becomes due to the assessee under the provisions of sub-section (1) of section 143 and the Assessing Officer is of the opinion, having regard to the fact that a notice has been issued under sub-section (2) of section 143 in respect of such return, that the grant of the 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 Commissioner, as the case may be, withhold the refund up to the date on which the assessment is made.”.
Amendment of section 244A.
78. In section 244A of the Income-tax Act,—
(i)after sub-section (1A), the following sub-section shall be inserted, namely:—
“(1B) Where refund of any amount becomes due to the deductor in respect of any amount paid to the credit of the Central Government under Chapter XVII-B, such deductor shall be entitled to receive, in addition to the said amount, simple interest thereon calculated at the rate of one-half per cent for every month or part of a month comprised in the period, from the date on which—
(a)claim for refund is made in the prescribed form; or
(b)tax is paid, where refund arises on account of giving effect to an order under section 250 or section 254 or section 260 or section 262,
to the date on which the refund is granted.”;
(ii)in sub-section (2),—
(a)after the words “to the assessee”, the words “or the deductor, as the case may be,” shall be inserted;
(b)after the word, brackets, figure and letter “or (1A)”, the word, brackets, figure and letter “or (1B)” shall be inserted.
Amendment of section 245A.
79. In section 245A of the Income-tax Act, in clause (b), in the Explanation, in clause (iv), for the words “two years from the end of the relevant assessment year”, the words, brackets and figures “the time specified for making assessment under sub-section (1) of section 153” shall be substituted.
Amendment of section 245N.
80. In section 245N of the Income-tax Act, for clause (b), the following clause shall be substituted, namely:—
‘(b)”applicant” means—
(A)any person who—
(I)is a non-resident referred to in sub-clause (i) of clause (a); or
(II)is a resident referred to in sub-clause (ii) of clause (a); or
(III)is a resident referred to in sub-clause (iia) of clause (a) falling within any such class or category of persons as the Central Government may, by notification in the Official Gazette, specify; or
(IV)is a resident falling within any such class or category of persons as the Central Government may, by notification in the Official Gazette, specify in this behalf; or
(V)is referred to in sub-clause (iv) of clause (a),
and makes an application under sub-section (1) of section 245Q;
(B)an applicant as defined in clause (c) of section 28E of the Customs Act, 1962 (52 of 1962);
(C)an applicant as defined in clause (c) of section 23A of the Central Excise Act, 1944 (1 of 1944);
(D)an applicant as defined in clause (b) of section 96A of the Finance Act, 1994 (32 of 1994);’.
Amendment of section 245-O.
81. In section 245-O of the Income-tax Act,—
(a)in sub-section (3),—
(i)in clause (a), after the words “a Judge of the Supreme Court”, the words “or the Chief Justice of a High Court or for at least seven years a Judge of a High Court” shall be inserted;
(ii)for clause (c), the following clause shall be substituted, namely:—
“(c)a revenue Member—
(i)from the Indian Revenue Service, who is, or is qualified to be, a Member of the Board; or
(ii)from the Indian Customs and Central Excise Service, who is, or is qualified to be, a Member of the Central Board of Excise and Customs,
on the date of occurrence of vacancy;”;
(iii)in clause (d), after the words “Government of India”, the words “on the date of occurrence of vacancy” shall be inserted;
(b)after sub-section (6), the following sub-sections shall be inserted, namely:—
“(6A) In the event of the occurrence of any vacancy in the office of the Chairman by reason of his death, resignation or otherwise, the senior-most Vice-chairman shall act as the Chairman until the date on which a new Chairman, appointed in accordance with the provisions of this Act to fill such vacancy, enters upon his office.
(6B) In case the Chairman is unable to discharge his functions owing to absence, illness or any other cause, the senior-most Vice-Chairman shall discharge the functions of the Chairman until the date on which the Chairman resumes his duties.”.
Amendment of section 245Q.
82. In section 245Q of the Income-tax Act, in sub-section (1), after the words “advance ruling under this Chapter”, the words, figures and letters “or under Chapter V of the Customs Act, 1962 (52 of 1962) or under Chapter IIIA of the Central Excise Act, 1944 (1 of 1944) or under Chapter VA of the Finance Act, 1994 (32 of 1994)” shall be inserted.
Amendment of section 253.
83. In section 253 of the Income-tax Act, in sub-section (1), in clause (f), after the words “authority under”, the words, brackets and figures “sub-clause (iv) or sub-clause (v) or” shall be inserted.
Insertion of new section 269ST.
84 . After section 269SS of the Income-tax Act, the following section shall be inserted, namely:—
‘269ST. Mode of undertaking transactions.—No person shall receive an amount of two lakh rupees or more—
(a)in aggregate from a person in a day; or
(b)in respect of a single transaction; or
(c)in respect of transactions relating to one event or occasion from a person,
otherwise than by an account payee cheque or an account payee bank draft or use of electronic clearing system through a bank account:
Provided that the provisions of this section shall not apply to—
(i)any receipt by—
(a)Government;
(b)any banking company, post office savings bank or co-operative bank;
(ii)transactions of the nature referred to in section 269SS;
(iii)such other persons or class of persons or receipts, which the Central Government may, by notification in the Official Gazette, specify.
Explanation.—For the purposes of this section,—
(a)”banking company” shall have the same meaning as assigned to it in clause (i) of the Explanation to section 269SS;
(b)”co-operative bank” shall have the same meaning as assigned to it in clause (ii) of the Explanation to section 269SS.’.
Insertion of new section 271DA.
85 . After section 271D of the Income-tax Act, the following section shall be inserted, namely:—
“271DA. Penalty for failure to comply with provisions of section 269ST.—(1) If a person receives any sum in contravention of the provisions of section 269ST, he shall be liable to pay, by way of penalty, a sum equal to the amount of such receipt:
Provided that no penalty shall be imposable if such person proves that there were good and sufficient reasons for the contravention.
(2) Any penalty imposable under sub-section (1) shall be imposed by the Joint Commissioner.”.
Amendment of section 271F.
86. In section 271F of the Income-tax Act, the following proviso shall be inserted with effect from the 1st day of April, 2018, namely:—
“Provided that nothing contained in this section shall apply to and in relation to the return of income required to be furnished for any assessment year commencing on or after the 1st day of April, 2018.”.
Insertion of new section 271J.
87. After section 271-I of the Income-tax Act, the following section shall be inserted, namely:—
‘271J. Penalty for furnishing incorrect information in reports or certificates.—Without prejudice to the provisions of this Act, where the Assessing Officer or the Commissioner (Appeals), in the course of any proceedings under this Act, finds that an accountant or a merchant banker or a registered valuer has furnished incorrect information in any report or certificate furnished under any provision of this Act or the rules made thereunder, the Assessing Officer or the Commissioner (Appeals) may direct that such accountant or merchant banker or registered valuer, as the case may be, shall pay, by way of penalty, a sum of ten thousand rupees for each such report or certificate.
Explanation.—For the purposes of this section,—
(a)”accountant” means an accountant referred to in the Explanation below sub-section (2) of section 288;
(b)”merchant banker” means Category I merchant banker registered with the Securities and Exchange Board of India established under section 3 of the Securities and Exchange Board of India Act, 1992 (15 of 1992);
(c)”registered valuer” means a person defined in clause (oaa) of section 2 of the Wealth-tax Act, 1957 (27 of 1957).’.
Amendment of section 273B.
88. In section 273B of the Income-tax Act, after the word, figures and letter “section 271-I,”, the word, figures and letter “section 271J,” shall be inserted.
** ** **
CHAPTER IV INDIRECT TAXES
Customs
Amendment of section 2
89. In the Customs Act, 1962 (52 of 1962) (hereinafter referred to as the Customs Act), in section 2:—
(a)after clause (3), the following clause shall be inserted, namely:—
‘(3A) “beneficial owner” means any person on whose behalf the goods are being imported or exported or who exercises effective control over the goods being imported or exported;’;
(b)in clause (13), for the words “customs airport”, the words “customs airport, international courier terminal, foreign post office” shall be substituted;
(c)in clause (16), the words and figures “in the case of goods imported or to be exported by post, the entry referred to in section 82 or” shall be omitted;
(d)in clause (20), for the words “any owner”, the words “any owner, beneficial owner” shall be substituted;
(e)after clause (20), the following clause shall be inserted, namely:—
‘(20A) “foreign post office” means any post office appointed under clause (e) of sub-section (1) of section 7 to be a foreign post office;’;
(f)in clause (26), for the words “any owner”, the words “any owner, beneficial owner” shall be substituted;
(g)after clause (28), the following clause shall be inserted, namely:—
‘(28A) “international courier terminal” means any place appointed under clause (f) of sub-section (1) of section 7 to be an international courier terminal;’;
(h)after clause (30A), the following clause shall be inserted, namely:—
‘(30B) “passenger name record information” means the records prepared by an operator of any aircraft or vessel or vehicle or his authorised agent for each journey booked by or on behalf of any passenger;’.
Amendment of section 7
90. In the Customs Act, in section 7, in sub-section (1), after clause (d), the following clauses shall be inserted, namely:—
“(e)the post offices which alone shall be foreign post offices for the clearance of imported goods or export goods or any class of such goods;
(f)the places which alone shall be international courier terminals for the clearance of imported goods or export goods or any class of such goods.”.
