MEMORANDUM REGARDING DELEGATED LEGISLATION
Clause 9 of the Bill seeks to amend section 12A of the Income-tax Act relating to conditions for applicability of sections 11 and 12.
The said clause, inter alia, seeks to insert a new clause (ab) in sub-section (1) of the said section to provide that provisions of sections 11 and 12 shall not apply in relation to income of the trust or institution, unless the person in receipt of the income has made an application for registration of the trust or the institution which has adopted or undertaken modifications in the objects which do not conform to the conditions of registration, in the prescribed form and manner to the Principal Commissioner or Commissioner.
Clause 26 of the Bill seeks to insert a new section 50CA in the Income-tax Act relating to special provision for full value of consideration for transfer of share other than quoted shares.
In the said new section, it is proposed to provide that in case of transfer of shares of a company other than quoted shares, the full value of consideration for the purpose of computing income chargeable to tax as capital gain shall be the fair market value of such shares determined in accordance with such manner as may be prescribed.
Clause 42 of the Bill seeks to insert a new section 92CE of the Income-tax Act relating to secondary adjustment in certain cases.
Sub-section (2) of the proposed new section, inter alia, seeks to provide that where, as a result of primary adjustment to the transfer price, there is an increase in the total income or reduction in the loss, as the case may be, of the assessee, the excess money which is available with its associated enterprise, shall be deemed to be an advance made by the assessee to such associated enterprise, if it is not repatriated within the time as may be prescribed and shall be computed in such manner as may be prescribed.
Clause 99 of the Bill seeks to amend section 46 of the Customs Act so as to substitute sub-section (3) thereof. The second proviso to the said sub-section empowers the Board to make regulations to prescribe the charges for late presentation of bill of entry.
Clause 105 of the Bill seeks to insert a new sub-section (5) in section 127B of the Customs Act.
The said sub-section empowers the Central Government to make rules to specify the manner in which and the conditions subject to which an application may be made by any person, other than the applicant, before the Settlement Commission.
Clause 107 of the Bill seeks to insert a new clause (ab) in sub-section (2) of section 157 of the Customs Act relating to power to make regulations.
The said clause empowers the Board to make regulations to provide for the form, the particulars, the manner and the time of delivering the passenger and crew manifest for arrival and departure and the passenger name record information and the penalty, for the delay in furnishing such information under sections 30A and 41A thereof.
Clause 116 of the Bill seeks to insert a new sub-section (5) in section 32E of the Central Excise Act. The said sub-section empowers the Central Government to make rules to specify the manner in which and the conditions subject to which an application may be made by any person, other than an assessee, before the Settlement Commission.
Clause 148 of the Bill seeks to substitute Chapter II of the Payment and Settlement Systems Act, 2007 relating to Designated Authority which, inter alia, seeks to substitute section 3 of the said Act. The proposed sub-section (4) provides that the powers and functions of the Board, the time and venue of its meeting, the procedure to be followed in such meetings (including the quorum at such meetings) and other matters incidental thereto shall be such as may be prescribed.
2. The matters in respect of which rules or regulations may be made in accordance with the provisions of the Bill are matters of procedure and detail and it is not practicable to provide for them in the Bill.
3. The delegation of legislative power is, therefore, of a normal character.
LOK SABHA
A
BILL
to give effect to the financial proposals of the Central Government for the financial year 2017-2018.
(Shri Arun Jaitley, Minister of Finance.)
