Clause 109 - Avoidance of tax by sale and buy-back transaction in security - Direct Taxes Code Bill, 2009

Avoidance of tax by sale and buy-back transaction in security 109. The total income of any person shall include any interest accruing from any security owned by any other person if,- (a) the person undertakes a transaction relating to sale and buy back of the security; (b) the interest accrues to the other person as a result of such transaction; (c) the income would have been included in the total income of the person, had the transfer not taken place.