Section 105 - Omitted - Income-tax Act, 1961

105. 5 [****] *************** NOTES:- 1. Inserted vide Section 13 of the Finance Act, 1973 w.e.f. 01-04-1974 2. Inserted vide Section 13 of the Finance Act, 1973 w.e.f. 01-04-1974 3. Inserted vide Section 13 of the Finance Act, 1973 w.e.f. 01-04-1974 4. Inserted vide Section 13 of the Finance Act, 1973 w.e.f. 01-04-1974 5. Omitted vide Section 41 of the Finance Act, 1987 w.e.f. 01-04-1988 before it was read as, Special provisions for certain companies 105. (1) No order under section 104 shall be made, (i) in the case of an investment company which has distributed 1 [ , within the period of twelve months referred to in sub-section (1) of section 104, ] not less than eighty per cent of its distributable income; or (ii) in the case of any other company whose distribution 2 [ , within the period of twelve months referred to in sub-section (1) of section 104, ] falls short of the statutory percentage by not more than ten per cent of its distributable income; or (iii) in any case where according to the return made by a company under section 139 it has distributed 3 [ , within the period of twelve months referred to in sub-section (1) of section 104, ] not less then the statutory percentage of its distributable income, but in the assessment made by the Income-tax Officer under section 143 or section 144 a higher total income is arrived at and the difference in the total income does not arise out of the application of the proviso to sub-section (1) of section 145 or sub-section (2) of section 145 or section 144 or the omission by the company to disclose its income fully and truly; or (iv) in the case of a company where a re-assessment is made under the provisions of clause (b) of section 147 and the sum distributed as dividends falls short of the statutory percentage of the distributable income determined on the basis of the re-assessment: unless the company, on receipt of a notice from the Income-tax Officer that he proposes to make such an order, fails to make within three months of the receipt of such notice, a further distribution of its profits and gains so that the total distribution made is not less than the statutory percentage of the distributable income. 4 [ Explanation : For the purposes of clause (iv) of this sub-section, the sum distributed as dividends means, - (a) where in relation to the assessment made under section 143 or section 144, any further distribution of dividends was made by the company in pursuance of a notice under this sub-section, the aggregate of the following sums, namely :- (i) the sum distributed as dividends within the period of twelve months referred to in sub-section (1) of section 104, and (ii) the sum distributed as dividends within the period of three months from the receipt of the said notice; (b) where an order under section 107A has been made by the Board in relation to the assessment made under section 143 or section 144, the sum distributed as dividends within the period determined by the Board under the provisions of sub-section (4) of section 107A; (c) in any other case, the sum distributed as dividends within the period of twelve months referred to in sub-section (1) of section 104. ] (2) Any further distribution made under sub-section (1) shall not be taken into account in deciding whether the provisions of section 104 apply in respect of the previous year in which the further distribution is made.