Section 2(31) to (48) - Definitions [Clause (31) to Clause (48)] - "Person" to "Zero Coupon Bond" - Income-tax Act, 1961

Previous First Definitions [Clause (31) to Clause (48)] ( 31 ) person includes- ( i ) an individual, ( ii ) a Hindu undivided family, ( iii ) a company, ( iv ) a firm, ( v ) an association of persons or a body of individuals, whether incorporated or not, ( vi ) a local authority, and ( vii ) every artificial juridical person, not falling within any of the preceding sub-clauses. 1 [ Explanation. - For the purposes of this clause, an association of persons or a body of individuals or a local authority or an artificial juridical person shall be deemed to be a person, whether or not such person or body or authority or juridical person was formed or established or incorporated with the object of deriving income, profits or gains ;] ( 32 ) person who has a substantial interest in the company , in relation to a company, means a person who is the beneficial owner of shares, not being shares entitled to a fixed rate of dividend whether with or without a right to participate in profits, carrying not less than twenty per cent of the voting power ; ( 33 ) prescribed means prescribed by rules made under this Act ; ( 34 ) previous year means the previous year as defined in section 3 ; 67 [ (34A) Principal Chief Commissioner of Income-tax means a person appointed to be a Principal Chief Commissioner of Income-tax under sub-section (1) of section 117; (34B) Principal Commissioner of Income-tax means a person appointed to be a Principal Commissioner of Income-tax under sub-section (1) of section 117; (34C) Principal Director of Income-tax means a person appointed to be a Principal Director of Income-tax under sub-section (1) of section 117; (34D) Principal Director General of Income-tax means a person appointed to be a Principal Director General of Income-tax under sub-section (1) of section 117; ] ( 35 ) principal officer , used with reference to a local authority or a company or any other public body or any association of persons or any body of individuals, means- ( a ) the secretary, treasurer, manager or agent of the authority, company, association or body, or ( b ) any person connected with the management or administration of the local authority, company, association or body upon whom the 2 [ Assessing Officer ] has served a notice of his intention of treating him as the principal officer thereof ; ( 36 ) profession includes vocation ; 3 [ ( 36A ) public sector company means any corporation established by or under any Central, State or Provincial Act or a Government company as defined in section 617 of the Companies Act, 1956 (1 of 1956) ; ] ( 37 ) public servant has the same meaning as in section 21 of the Indian Penal Code (45 of 1860) ; 4 [ ( 37A ) rate or rates in force or rates in force , in relation to an assessment year or financial year, means- ( i ) for the purposes of calculating income-tax under the first proviso to sub-section (5) of section 132, or computing the income-tax chargeable under sub-section (4) of section 172 or sub-section (2) of section 174 or section 175 or sub-section (2) of section 176 or deducting income-tax under section 192 from income chargeable under the head Salaries 5 [ * * * ] or 6 [ computation of the advance tax payable under Chapter XVII-C 7 [ in a case not falling under section 115A or section 115B 8 [ or section 115BB 9 [ or section 115BBB ] or section 115E ] or ] section 164 10 [ or section 164A 11 [ * * * ]] 12 [ or section 167B ], the rate or rates of income-tax specified in this behalf in the Finance Act of the relevant year, and for the purposes of computation of the advance tax payable under Chapter Chapter XVII-C 13 [ in a case falling under section 115A or section 115B 14 [ or section 115BB 15 [ or section 115BBB ] or section 115E ] or section 164 16 [ or section 164A 17 [ * * * ]] 18 [ or section 167B ], the rate or rates specified in section 115A or 19 [ section 115B or section 115BB 20 [ or section 115BBB ] or section 115E or section 164 or section 164A 21 [ * * * ] 22 [ or section 167B ], as the case may be, ] or the rate or rates of income-tax specified in this behalf in the Finance Act of the relevant year, whichever is applicable ;] ( ii ) for the purposes of deduction of tax under sections 193, 194, 23 [ 194A, 194B, ] 93 [ 194BA, ] 24 [ 194BB ] 25 [ and 194D ], the rate or rates of income-tax specified in this behalf in the Finance Act of the relevant year ;] 26 [ ( iii ) for the purposes of deduction of tax under 75 [ section 194LBA or ] 77 [ section 194LBB or section 194LBC or ] section 195, the rate or rates of income-tax specified in this behalf in the Finance Act of the relevant year or the rate or rates of income-tax specified in 27 [ an agreement entered into by the Central Government under section 90, or an agreement notified by the Central Government under section 90A, whichever is applicable by virtue of the provisions of section 90, or section 90A, as the case may be ];] ( 38 ) recognised provident fund means a provident fund which has been and continues to be recognised by the 73 [ Principal Chief Commissioner or Chief Commissioner or Principal Commissioner or Commissioner ] in accordance with the rules contained in Part A of the Fourth Schedule, and includes a provident fund established under a scheme framed under the Employees Provident Funds Act, 1952 (19 of 1952) ; ( 39 ) 29 [****] ( 40 ) regular assessment means the assessment made under 30 [ sub-section (3) of section 143 ] or section 144 ; ( 41 ) relative , in relation to an individual, means the husband, wife, brother or sister or any lineal ascendant or descendant of that individual ; 31 [ (41A) resulting company means one or more companies (including a wholly owned subsidiary thereof) to which the undertaking of the demerged company is transferred in a demerger and, the resulting company in consideration of such transfer of undertaking, issues shares to the shareholders of the demerged company and includes any authority or body or local authority or public sector company or a company established, constituted or formed as a result of demerger; ] (42) resident means a person who is resident in India within the meaning of section 6 ; 32 [ ( 42A ) 33 [ short-term capital asset means a capital asset held by an assessee for not more than 95 [ twenty-four months ] immediately preceding the date of its transfer :] 35 [Provided that in the case of 68 [ a security 96 [ **** ] listed in a recognised stock exchange in India ] or a unit of the Unit Trust of India established under the Unit Trust of India Act, 1963 (52 of 1963) or [ a unit of an equity oriented fund ]] 37 [ or a zero coupon bond ] , the provisions of this clause shall have effect as if for the words 97 [ twenty-four months ] , the words twelve months had been substituted .] 70 [Provided further that in case of a share of a company (not being a share listed in a recognised stock exchange) or a unit of a Mutual Fund specified under clause (23D) of section 10, which is transferred during the period beginning on the 1st day of April, 2014 and ending on the 10th day of July, 2014, the provisions of this clause shall have effect as it for the words thirty-six months , the words twelve months had been substituted 98 [ as it stood immediately prior to the commencement of the Finance (No.2) Act, 2024 ] . ] 99 [ **** ] 38 [ Explanation 1 ].- ( i ) In determining the period for which any capital asset is held by the assessee- ( a ) in the case of a share held in a company in liquidation, there shall be excluded the period subsequent to the date on which the company goes into liquidation ; ( b ) in the case of a capital asset which becomes the property of the assessee in the circumstances mentioned in 39 [ sub-section (1) ] of section 49, there shall be included the period for which the asset was held by the previous owner referred to in the said section ; 82 [(ba) in the case of a capital asset referred to in clause (via) of section 28, the period shall be reckoned from the date of its conversion or treatment;] 40 [ ( c ) in the case of a capital asset being a share or shares in an Indian company, which becomes the property of the assessee in consideration of a transfer referred to in clause ( vii ) of section 47, there shall be included the period for which the share or shares in the amalgamating company were held by the assessee ;] 41 [ ( d ) in the case of a capital asset, being a share or any other security (hereafter in this clause referred to as the financial asset) subscribed to by the assessee on the basis of his right to subscribe to such financial asset or subscribed to by the person in whose favour the assessee has renounced his right to subscribe to such financial asset, the period shall be reckoned from the date of allotment of such financial asset ; ( e ) in the case of a capital asset, being the right to subscribe to any financial asset, which is renounced in favour of any other person, the period shall be reckoned from the date of the offer of such right by the company or institution, as the case may be, making such offer ; ] 42 [ ( f ) in the case of a capital asset, being a financial asset, allotted without any payment and on the basis of holding of any other financial asset, the period shall be reckoned from the date of the allotment of such financial asset ; ] 43 [ ( g ) in the case of a capital asset, being a share or shares in an Indian company, which becomes the property of the assessee in consideration of a demerger, there shall be included the period for which the share or shares held in the demerged company were held by the assessee ;] 44 [ ( h ) in the case of a capital asset, being trading or clearing rights of a recognised stock exchange in India acquired by a person pursuant to demutualisation or corporatisation of the recognised stock exchange in India as referred to in clause ( xiii ) of section 47, there shall be included the period for which the person was a member of the recognised stock exchange in India immediately prior to such demutualisation or corporatisation; ( ha ) in the case of a capital asset, being equity share or shares in a company allotted pursuant to demutualisation or corporatisation of a recognised stock exchange in India as re ferred to in clause ( xiii ) of section 47, there shall be included the period for which the person was a member of the recognised stock exchange in India immediately prior to such demutualisation or corporatisation; ] 62 [ (hb) in the case of a capital asset, being any specified security or sweat equity shares allotted or transferred, directly or indirectly, by the employer free of cost or at concessional rate to his employees (including former employee or employees), the period shall be reckoned from the date of allotment or transfer of such specified security or sweat equity shares. ] 71 [ (hc) in the case of a capital asset, being a unit of a business trust, allotted pursuant to transfer of share or shares as referred to in clause (xvii) of section 47, there shall be included the period for which the share or shares were held by the assessee; ] 76 [ (hd) in the case of a capital asset, being a unit or units, which becomes the property of the assessee in consideration of a transfer referred to in clause (xviii) of section 47, there shall be included the period for which the unit or units in the consolidating scheme of the mutual fund were held by the assessee; (he) in the case of a capital asset, being share or shares of a company, which is acquired by the non-resident assessee on redemption of Global Depository Receipts referred to in clause (b) of sub-section (1) of section 115AC held by such assessee, the period shall be reckoned from the date on which a request for such redemption was made; ] 80 [ (hf) in the case of a capital asset, being equity shares in a company, which becomes the property of the assessee in consideration of a transfer referred to in clause (xb) of section 47, there shall be included the period for which the preference shares were held by the assessee; ] 81 [ (hg) in the case of a capital asset, being a unit or units, which becomes the property of the assessee in consideration of a transfer referred to in clause (xix) of section 47, there shall be included the period for which the unit or units in the consolidating plan of a mutual fund scheme were held by the assessee; ] 84 [ (hh) in the case of a capital asset, being a unit or units in a segregated portfolio referred to in sub-section (2AG) of section 49, there shall be included the period for which the original unit or units in the main portfolio were held by the assessee; ] 94 [ (hi) in the case of a capital asset, being (a) Electronic Gold Receipt issued in respect of gold deposited as referred to in clause (viid) of section 47, there shall be included the period for which such gold was held by the assessee prior to conversion into the Electronic Gold Receipt; (b) gold released in respect of an Electronic Gold Receipt as referred to in clause (viid) of section 47, there shall be included the period for which such Electronic Gold Receipt was held by the assessee prior to its conversion into gold; ] ( ii ) In respect of capital assets other than those mentioned in clause ( i ), the period for which any capital asset is held by the assessee shall be determined subject to any rules which the Board may make in this behalf. ] 45 [ Explanation 2. -For the purposes of this clause, the expression security shall have the meaning assigned to it in clause ( h ) of section 2 of the Securities Contracts (Regulation) Act, 1956 (42 of 1956) ; ] 63 [Explanation 3 .- For the purposes of this clause, the expressions specified security and sweat equity shares shall have the meanings respectively assigned to them in the Explanation to clause (d) of sub-section (1) of section 115WB; ] 72 [ Explanation 4. -For the purposes of this clause, the expression equity oriented fund shall have the meaning assigned to it in 83 [clause (a) of the Explanation to section 112A; ]] 46 [ ( 42B ) short-term capital gain means capital gain arising from the transfer of a short-term capital asset ;] 47 [ ( 42C ) slump sale means the transfer of one or more 85 [ undertaking, by any means, ] for a lump sum consideration without values being assigned to the individual assets and liabilities in such 91 [ transfer ] . Explanation 1.- For the purposes of this clause, undertaking shall have the meaning assigned to it in Explanation 1 to clause ( 19AA ). Explanation 2.- For the removal of doubts, it is hereby declared that the determination of the value of an asset or liability for the sole purpose of payment of stamp duty, registration fees or other similar taxes or fees shall not be regarded as assignment of values to individual assets or liabilities ; ] 86 [Explanation 3. For the purposes of this clause, transfer shall have the meaning assigned to it in clause (47); ] 48 [ ( 43 ) tax in relation to the assessment year commencing on the 1st day of April, 1965, and any subsequent assessment year means income-tax chargeable under the provisions of this Act, and in relation to any other assessment year income-tax and super-tax chargeable under the provisions of this Act prior to the aforesaid date 49 [ and in relation to the assessment year commencing on the 1st day of April, 2006, and any subsequent assessment year includes the fringe benefit tax payable under section 115WA ] ;] 50 [ ( 43A ) tax credit certificate means a tax credit cer tificate granted to any person in accordance with the provisions of Chapter XXII-B [51] and any scheme made thereunder; ( 43B ) 52 [ * * * ] 53 [ ( 44 ) Tax Recovery Officer means any Income-tax Officer who may be authorised by the 74 [ Principal Chief Commissioner or Chief Commissioner ] or 74A [ Principal Commissioner or Commissioner ] , by general or special order in writing, to exercise the powers of a Tax Recovery Officer 54 [ and also to exercise or perform such powers and functions which are conferred on, or assigned to, an Assessing Officer under this Act and which may be prescribed ] ; ] ( 45 ) total income means the total amount of income referred to in section 5, computed in the manner laid down in this Act ; ( 46 ) 55 [ * * * ] ( 47 ) 56 [ transfer , in relation to a capital asset, includes,- ( i ) the sale, exchange or relinquishment of the asset ; or ( ii ) the extinguishment of any rights therein ; or ( iii ) the compulsory acquisition thereof under any law ; or ( iv ) in a case where the asset is converted by the owner thereof into, or is treated by him as, stock-in-trade of a business carried on by him, such conversion or treatment ; ] 57 [ or ] 58 [ ( iva ) the maturity or redemption of a zero coupon bond; or ] 59 [( v ) any transaction involving the allowing of the possession of any immovable property to be taken or retained in part performance of a contract of the nature referred to in section 53A of the Transfer of Property Act, 1882 (4 of 1882) ; or ( vi ) any transaction (whether by way of becoming a member of, or acquiring shares in, a co-operative society, company or other association of persons or by way of any agreement or any arrangement or in any other manner whatsoever) which has the effect of transferring, or enabling the enjoyment of, any immovable property. 66 [Explanation . 1 -For the purposes of sub-clauses ( v ) and ( vi ), immovable property shall have the same meaning as in clause ( d ) of section 269UA ;] Explanation 2 .- For the removal of doubts, it is hereby clarified that transfer includes and shall be deemed to have always included disposing of or parting with an asset or any interest therein, or creating any interest in any asset in any manner whatsoever, directly or indirectly, absolutely or conditionally, voluntarily or involuntarily, by way of an agreement (whether entered into in India or outside India) or otherwise, notwithstanding that such transfer of rights has been characterised as being effected or dependent upon or flowing from the transfer of a share or shares of a company registered or incorporated outside India; . ] 92 [ (47A) virtual digital asset means- (a) any information or code or number or token (not being Indian currency or foreign currency), generated through cryptographic means or otherwise, by whatever name called, providing a digital representation of value exchanged with or without consideration, with the promise or representation of having inherent value, or functions as a store of value or a unit of account including its use in any financial transaction or investment, but not limited to investment scheme; and can be transferred, stored or traded electronically; (b) a non-fungible token or any other token of similar nature, by whatever name called; (c) any other digital asset, as the Central Government may, by notification in the Official Gazette specify: 100 [ (d) any crypto-asset being a digital representation of value that relies on a cryptographically secured distributed ledger or a similar technology to validate and secure transactions, whether or not such asset is included in sub-clause (a) or sub-clause (b) or sub-clause (c): ] Provided that the Central Government may, by notification in the Official Gazette, exclude any digital asset from the definition of virtual digital asset subject to such conditions as may be specified therein. Explanation .-For the purposes of this clause,- (a) non-fungible token means such digital asset as the Central Government may, by notification in the Official Gazette, specify; (b) the expressions currency , foreign currency and Indian currency shall have the same meanings as respectively assigned to them in clauses (h), (m) and (q) of section 2 of the Foreign Exchange Management Act, 1999 (42 of 1999.). ] 60 [ ( 48 ) zero coupon bond means a bond- ( a ) issued by any infrastructure capital company or infrastructure capital fund or 87 [ infrastructure debt fund or ] public sector company 64 [ or scheduled bank ] on or after the 1st day of June, 2005; ( b ) in respect of which no payment and benefit is received or receivable before maturity or redemption from infrastructure capital company or infrastructure capital fund or 88 [ infrastructure debt fund or ] public sector company 64 [ or scheduled bank ] ; and ( c ) which the Central Government may, by notification in the Official Gazette, specify in this behalf. 65 [ 89 [Explanation 1] .- For the purposes of this clause, the expression scheduled bank shall have the meaning assigned to it in clause (ii) of the Explanation to sub-clause (c) of clause (viia) of sub-section (1) of section 36. ] 90 [Explanation 2.- For the purposes of this clause, the expression infrastructure debt fund shall mean the infrastructure debt fund notified by the Central Government in the Official Gazette under clause (47) of section 10. ] 61 [ *** ]] *************** NOTES:- 1. Inserted vide Section 3 of the Finance Act, 2002 w.e.f. 01-04-2002 2. Substituted vide Section 2 of the Direct Tax Laws (Amendment) Act, 1987 w.e.f. 01-04-1988 before it was read as, Income-tax Officer 3. Inserted vide Section 3 of the Finance Act, 1987 w.e.f. 01-04-1987 . 4. Inserted vide Section 4 of the Finance (No. 2) Act, 1967 w.e.f. 01-04-1967 . 5. Omitted vide Section 3 of the Direct Tax Laws (Amendment) Act, 1987 w.e.f. 01-04-1989 before it was read as, or sub-section (9) of section 80E from any payment referred to therein Originally, Inserted vide Section 4 of the Finance Act, 1968 w.e.f. 01-04-1968. 6. Substituted vide Section 3 of the Finance Act, 1970 w.e.f. 1-4-1971 before it was read as, computation of the advance tax payable under Chapter XVII-C, the rate or rates of income-tax specified in this behalf in the Finance Act of the relevant year 7. Substituted vide Section 3 of the Finance Act, 1976 w.e.f. 1-6-1976 before it was read as, in a case not falling under section 164 8. Inserted by the Section 3 of the Direct Tax Laws (Amendment) Act, 1987 w.e.f. 01-04-1988. 9. Inserted vide Section 3 of the Finance Act, 2002 w.e.f. 01-04-2003. 10. Inserted vide Section 3 of the Direct Tax Laws (Amendment) Act, 1987 w.e.f. 01-04-1988 11. Omitted vide Section 2 of the Direct Tax Laws (Amendment) Act, 1989 w.e.f. 01-04-1989 before it was read as, or section 167A Earlier this expression was Inserted vide Section 3 of the Direct Tax Laws (Amendment) Act, 1987 w.e.f. 01-04-1988 12. Inserted vide Section 3 of the Direct Tax Laws (Amendment) Act, 1987 w.e.f. 01-04-1989 13. Substituted vide Section 3 of the Finance Act, 1976 w.e.f. 1-6-1976 before it was read as, in a case falling under section 164, the rate specified in that section 14. Inserted vide Section 3 of the Direct Tax Laws (Amendment) Act, 1987 w.e.f. 01-04-1988 15. Inserted vide Section 3 of the Finance Act, 2002 w.e.f. 01-04-2003 16. Inserted vide Section 3 of the Direct Tax Laws (Amendment) Act, 1987 w.e.f. 01-04-1988 17. Omitted vide Section 2 of the Direct Tax Laws (Amendment) Act, 1989 w.e.f. 01-04-1989 before it was read as, or section 167A Earlier this expression was Inserted vide Section 3 of the Direct Tax Laws (Amendment) Act, 1987 w.e.f. 01-04-1988 18. Inserted vide Section 3 of the Direct Tax Laws (Amendment) Act, 1987 w.e.f. 01-04-1989 19. Substituted vide Section 3 of the Direct Tax Laws (Amendment) Act, 1987 w.e.f. 01-04-1988 before it was read as, section 115B or, as the case may be, section 164 20. Inserted vide Section 3 of the Finance Act, 2002 w.e.f. 01-04-2003 21. Omitted vide Section 2 of the Direct Tax Laws (Amendment) Act, 1989 w.e.f. 01-04-1989 before it was read as, or section 167A Earlier this expression was Inserted vide Section 3 of the Direct Tax Laws (Amendment) Act, 1987 w.e.f. 01-04-1988 22. Inserted vide Section 3 of the Direct Tax Laws (Amendment) Act, 1987 w.e.f. 01-04-1989 23. Substituted vide Section 3 of the Finance Act, 1972 w.e.f. 01-04-1972 before it was read as, 194A 24. Inserted vide Section 32 of the Finance Act, 1978 w.e.f. 01-04-1978. 25. Substituted vide Section 3 of the Finance (No. 2) Act, 1991 w.e.f. 01-10-1991 before it was read as, , 194D and 195 26. Substituted vide Section 3 of the Finance Act, 1992 w.e.f. 01-06-1992 before it was read as, (iii) for the purposes of deduction of tax under section 195, the rate or rates of income-tax specified in section 115A or the rate or rates of income-tax specified in this behalf in the Finance Act of the relevant year, whichever is applicable; Prior to its substitution, sub-clause (iii) was inserted vide Section 3 of the Finance (No. 2) Act, 1991 w.e.f. 01-10-1991 27. Substituted vide Section 3 of the Finance Act, 2006 w.e.f. 01-06-2006 before it was read as, an agreement entered into by the Central Government under section 90, whichever is applicable by virtue of the provisions of section 90 28. Substituted vide Section 2 of the Direct Tax Laws (Amendment) Act, 1987 w.e.f. 01-04-1988 before it was read as, Commissioner 29. Omitted vide Section 3 of the Finance Act, 1992 w.e.f. 01-04-1993 before it was read as, (39) registered firm means a firm registered under the provisions of clause (a) of sub-section (1) of section 185 or deemed to be registered under the provisions of sub-section (6) of that section or under those provisions read with sub-section (7) of section 184; Prior to omission, clause (39) was Substituted vide Section 2 of the Direct Tax Laws (Second Amendment) Act, 1989 w.e.f. 01-04-1989 Earlier clause (39) was Omitted vide Section 3 of the Direct Tax Laws (Amendment) Act, 1987 w.e.f. 01-04-1989 before it was read as, (39) registered firm means e firm registered under the provisions of clause (a) of sub-section (1) of section 185 or under that provision read with sub-section (7) of section 184; And was later reintroduced vide Section 95 of the Direct Tax Laws (Amendment) Act, 1989 w.e.f. 01-04-1989 30. Substituted vide Section 3 of the Finance Act, 1990 w.e.f. 01-04-1989 before it was read as, section 143 31. Inserted vide Section 3 of the Finance Act, 1999 w.e.f. 01-04-2000 32. Inserted vide Section 3 of the Finance (No. 2) Act, 1962 w.e.f. 01-04-1962. 33. Substituted vide Section 3 of the Finance Act, 1973 w.e.f. 01-04-1974 before it was read as, short term capital asset means a capital asset held by an assessee for not more than twenty-four months immediately preceding the date of its transfer but does not include a capital asset, being a certificate issued by an authorised dealer as defined in clause (ai) of section 2 of the Foreign Exchange Regulation Act, 1947(7 of 1947), as evidence of the remittance of foreign currency or other foreign exchange [as defined respectively in clause (c) and clause (d) of the said section] to India from a country outside India in accordance with the provisions of the said Act and any rules made thereunder, during the period commencing on the 26th day of October, 1965 and ending on the 28th day of February, 1966, or such later date as the Central Government may, by notification in the Official Gazette, specify in this behalf, notwithstanding that such capital asset has been held by the assessee for not more than twenty-four months immediately preceding the date of its transfer . Earlier clause (42A) was first amended vide Section 4 of the Finance Act, 1966 w.e.f. 1-4-1966 And later by the Third Schedule of the Finance Act, 1968 w.e.f. 01-04-1969 . 34. Substituted vide Section 3 of the Finance (No. 2) Act, 1977 w.e.f. 1-4-1978 before it was read as, sixty months 35. Inserted Section 3 of the Finance Act, 1987 w.e.f. 01-04-1988 . 36. Inserted vide Section 3 of the Finance Act, 1994 w.e.f. 1-4-1995. 37. Inserted vide Section 3 of the Finance Act, 2005 w.e.f. 1-4-2006. 38. Re-Numbered vide Section 3 of the Finance Act, 1994 w.e.f. 1-4-1995 before it was read as, Explanation 39. Substituted vide Section 4 of the Finance (No. 2) Act, 1967 w.e.f. 01-04-1967 before it was read as, clauses (i) to (iii) 40. Inserted vide Section 4 of the Finance (No. 2) Act, 1967 w.e.f. 01-04-1967 41. Inserted vide Section 3 of the Finance Act, 1994 w.e.f. 1-4-1995 . 42. Inserted vide Section 3 of the Finance Act, 1995 w.e.f. 01-04-1996. 43. Inserted vide Section 3 of the Finance Act, 1999 w.e.f. 01-04-2000 44. Inserted vide Section 3 of the Finance Act, 2003 w.e.f. 01-04-2004 . 45. Inserted vide Section 3 of the Finance Act, 1994 w.e.f. 1-4-1995 . 46. Inserted vide Section 3 of the Finance Act, 1987 w.e.f. 01-04-1988 . 47. Inserted vide Section 3 of the Finance Act, 1999 w.e.f. 01-04-2000. Earlier clause (42C) was inserted vide Section 2 of the Direct Tax Laws (Second Amendment) Act, 1989 w.e.f. 01-04-1990 And later on Omitted vide Section 3 of the Finance Act, 1990 w.e.f. 01-04-1990 before it was read as, (42C) security means a Government security as defined in clause (2) of section 2 of the Public Debt Act, 1944 (18 of 1944); . 48. Substituted vide Section 4 of the Finance Act, 1965 w.e.f. 01-04-1965 before it was read as, (43) tax means income-tax and super-tax chargeable under the provisions of this Act; 49. Inserted vide Section 3 of the Finance Act, 2005 w.e.f. 1-4-2006 . 50. Inserted vide Section 4 of the Finance Act, 1965 w.e.f. 01-04-1965 51. Omitted vide Section 48 of the Finance Act, 1990 w.e.f. 1-04-1990. 52. Omitted vide Section 3 of the Direct Tax Laws (Amendment) Act, 1987 w.e.f. 01-04-1989 before it was read as, (43B) Tax Recovery Commissioner means a Commissioner or an Assistant Commissioner of Income-tax who may be authorised by the Central Government, by general or special notification in the Official Gazette, to exercise the powers of a Tax Recovery Commissioner; Original clause (43B) was inserted vide Section 3 of the Finance (No. 2) Act, 1971 w.e.f. 01-01-1972. 53. Substituted vide Section 3 of the Direct Tax Laws (Amendment) Act, 1987 [as amended by the Direct Tax Laws (Amendment) Act, 1989 ], w.e.f. 01-04-1988 before it was read as, (44) Tax Recovery Officer means (i) a Collector or an additional Collector; (ii) any such officer empowered to effect recovery of arrears of land revenue or other public demand under any law relating to land revenue or other public demand for the time being in force in the State as may be authorised by the State Government, by general or special notification in the Official Gazette, to exercise the powers of a Tax Recovery Officer; (iii) any Gazetted Officer of the Central or a State Government who may be authorised by the Central Government, by general or special notification in the Official Gazette, to exercise the powers of a Tax Recovery Officer; Prior to its substitution, clause (44), was Substituted vide Section 4 of the Finance Act, 1963 w.e.f. 01-04-1962 before it was read as, (44) Tax Recovery Officer means (i) a Collector; (ii) an additional Collector or any other officer authorised to exercise the powers of a Collector under any law relating to land revenue for the time being in force in a State; or (iii) any Gazetted officer of the Central or a State Government who may be authorised by the Central Government, by notification in the Official Gazette, to exercise the powers of a Tax Recovery Officer; 54. Inserted vide Section 2 of the Taxation Laws (Amendment) Act, 2006 w.e.f. 13-7-2006. 55 . Omitted vide Section 4 of the Finance Act, 1965 w.e.f. 01-04-1965 before it was read as, (46) total world income includes all income wherever accruing or arising, except incomes which are not included in the total income under any of the provisions of Chapter III and except any capital gains which are not includible in the total income of an assessee; 56. Substituted vide Section 2 of the Taxation Laws (Amendment) Act, 1984 w.e.f. 01-04-1985 before it was read as, (47) transfer , in relation to a capital asset, includes the sale, exchange or relinquishment of the asset or the extinguishment of any rights therein or the compulsory acquisition thereof under any law; 57. Inserted vide Section 3 of the Finance Act, 1987 w.e.f. 01-04-1988 . 58. Inserted vide Section 3 of the Finance Act, 2005 w.e.f. 1-4-2006 . 59. Inserted vide Section 3 of the Finance Act, 1987 w.e.f. 01-04-1988 . 60. Inserted vide Section 3 of the Finance Act, 2005 w.e.f. 01-04-2006 . Earlier clause (48) was omitted vide Section 3 of the Direct Tax Laws (Amendment) Act, 1987 w.e.f. 01-04-1989. It was later re-introduced vide Section 95 of the Direct Tax Laws (Amendment) Act, 1989 w.e.f. 01-04-1989 And again Omitted vide Section 3 of the Finance Act, 1992 w.e.f. 1-4-1993. 61. Omitted vide Section 3 of the Finance Act, 2006 w.e.f. 01-06-2006 before it was read as, Explanation .-For the purposes of this clause, the expressions infrastructure capital company and infrastructure capital fund shall have the same meanings respectively assigned to them in clauses (a) and (b) of Explanation 1 to clause (23G) of section 10. 62. Inserted vide Section 3 of the Finance Act, 2007 w.e.f. 01-04-2008 . 63. Inserted vide Section 3 of the Finance Act, 2007 w.e.f. 01-04-2008 . 64 . Inserted vide Section 3 of the Finance (No. 2) Act, 2009 w.e.f. 01-04-2009 65 . Inserted vide Section 3 of the Finance (No. 2) Act, 2009 w.e.f. 01-04-2009 66. In clause (47), the Explanation shall be numbered as Explanation 1 thereof and after Explanation 1 as so numbered, the following Explanation has been inserted and shall be deemed to have been Inserted vide Section 3 of the Finance Act, 2012 w.e.f. 01-04-1962 67. Inserted vide Section 3 of the Finance (No. 2) Act, 2014 w.e.f. 01-06-2013 68. Substituted vide Section 3 of the Finance (No. 2) Act, 2014 w.e.f. 01-04-2015 before it was read as, a share held in a company 36 [ or any other security listed in a recognised stock exchange in India 69. Substituted vide Section 3 of the Finance (No. 2) Act, 2014 w.e.f. 01-04-2015 before it was read as, a unit of a Mutual Fund specified under clause (23D) of section 10 70. Inserted vide Section 3 of the Finance (No. 2) Act, 2014 w.e.f. 01-04-2015 71. Inserted vide Section 3 of the Finance (No. 2) Act, 2014 w.e.f. 01-10-2014 72. Inserted vide Section 3 of the Finance (No. 2) Act, 2014 w.e.f. 01-04-2015 73. Substituted vide Section 4 of the Finance (No. 2) Act, 2014 w.e.f. 01-06-2013 before it was read as, 28 [ Chief Commissioner or Commissioner ] 74. Substituted vide Section 4 of the Finance (No. 2) Act, 2014 w.e.f. 01-06-2013 before it was read as, Chief Commissioner 74A. Substituted vide Section 4 of the Finance (No. 2) Act, 2014 w.e.f. 01-06-2013 before it was read as, Commissioner 75. Inserted vide Section 3 of the Finance Act, 2015 w.e.f. 01-04-2016 76. Inserted vide Section 3 of the Finance Act, 2015 w.e.f. 01-04-2016 77. Inserted vide Section 3 of the Finance Act, 2016 w.e.f. 01-06-2016 78. Inserted vide Section 3 of the Finance Act, 2016 w.e.f. 01-04-2017 79. Inserted vide Section 3 of the Finance Act, 2017 w.e.f. 01-04-2018 80. Inserted vide Section 3 of the Finance Act, 2017 w.e.f. 01-04-2018 81. Inserted vide Section 3 of the Finance Act, 2017 w.e.f. 01-04-2018 82. Inserted vide Section 3 of the Finance Act, 2018 w.e.f. 01-04-2019 83. Substituted vide Section 3 of the Finance Act, 2018 w.e.f. 01-04-2019 before it was read as, the Explanation to clause (38) of section 10 84. Inserted vide Section 3 of the Finance Act, 2020 dated 27-03-2020 w.e.f. 01-04-2020 85. Substituted vide Section 3 of the Finance Act, 2021 dated 28-03-2021 w.e.f. 01-04-2021 before it was read as, undertakings as a result of the sale 86. Inserted vide Section 3 of the Finance Act, 2021 dated 28-03-2021 w.e.f. 01-04-2021 87. Inserted vide Section 3 of the Finance Act, 2021 dated 28-03-2021 w.e.f. 01-04-2022 88. Inserted vide Section 3 of the Finance Act, 2021 dated 28-03-2021 w.e.f. 01-04-2022 89. Numbered vide Section 3 of the Finance Act, 2021 dated 28-03-2021 w.e.f. 01-04-2022 before it was read as, Explanation 90. Inserted vide Section 3 of the Finance Act, 2021 dated 28-03-2021 w.e.f. 01-04-2022 91. Substituted vide Section 3 of the Finance Act, 2022 w.e.f. 01-04-2021 before it was read as, sales 92. Inserted vide Section 3 of the Finance Act, 2022 w.e.f. 01-04-2022 93. Inserted vide Section 3 of the Finance Act, 2023 dated 31-03-2023 w.e.f. 01-04-2023 94. Inserted vide Section 3 of the Finance Act, 2023 dated 31-03-2023 w.e.f. 01-04-2024 95. Substituted vide Section 3 of the Finance (No. 2) Act, 2024 dated 16-08-2024 w.e.f. 23-07-2024 before it was read as, 34 [ thirty-six months ] 96. Omitted vide Section 3 of the Finance (No. 2) Act, 2024 dated 16-08-2024 w.e.f. 23-07-2024 before it was read as, (other than a unit) 97. Substituted vide Section 3 of the Finance (No. 2) Act, 2024 dated 16-08-2024 w.e.f. 23-07-2024 before it was read as, thirty-six months 98. Inserted vide Section 3 of the Finance (No. 2) Act, 2024 dated 16-08-2024 w.e.f. 23-07-2024 99. Omitted vide Section 3 of the Finance (No. 2) Act, 2024 dated 16-08-2024 w.e.f. 23-07-2024 before it was read as, 78 [Provided also that in the case of a share of a company (not being a share listed in a recognised stock exchange in India) 79 [ or an immovable property, being land or building or both, ] , the provisions of this clause shall have effect as if for the words thirty-six months , the words twenty-four months had been substituted. ] 100. Inserted vide Section 3 of the Finance Act, 2025 dated 29-03-2025 w.e.f. 01-04-2026