Amendment of section 13A.
8. In section 13A of the Income-tax Act, in the first proviso, in clause (d), for the words “bank account”, the words “bank account or through such other electronic mode as may be prescribed” shall be substituted with effect from the 1st day of April, 2020.
Notes on Clauses:
Clause 8 of the Bill seeks to amend section 13A of the Incometax Act relating to special provision relating to the incomes of political parties.
The said section provides that any income of a political party which is chargeable under the head “Income from house property” or “Income from other sources” or “Capital Gains” or income from voluntary contributions shall not be included in the total income of the previous year of such political party.
The first proviso to the said section lays down conditions to be satisfied by a political party in order for the provisions of this section to be applicable.
It is proposed to amend clause (d) of the said proviso so as to empower the Board to make rules to prescribe any other electronic mode through which a political party may also receive donations exceeding two thousand rupees.
This amendment will take effect from 1st April, 2020 and will, accordingly, apply in relation to the assessment year 2020-2021 and subsequent assessment years.
