Amendment of section 197.
83. In section 197 of the Income-tax Act, in sub-section (1), after the figures and letters “194LA”, the figures and letters “, 194LBB, 194LBC” shall be inserted with effect from the 1st day of June, 2016.
Notes on Clauses:
Clause 83 of the Bill seeks to amend section 197 of the Income tax Act relating to certificate for deduction at lower rate.
It is proposed to amend sub-section (1) of the said section to provide that where, in the case of any income of any person or sum payable to any person, the income-tax is required to be deducted at the time of credit or, as the case may be, at the time of payment under the provisions of section 194LBB and section 194LBC the Assessing Officer is satisfied that the total income of the recipient justifies the deduction of income-tax at any lower rates or no deduction of income-tax, as the case may be, the Assessing Officer shall on an application made by the assessee in this behalf, give to him such certificate as may be appropriate.
This amendment will take effect from 1st June, 2016.
