TMI BlogAvoidance of tax by certain transactions in securitiesX X X X Extracts X X X X X X X X Extracts X X X X ..... e purposes of this Act, to be the income of the owner and not to be the income of any other person. Explanation. -The references in this sub-section to buying back or reacquiring the securities shall be deemed to include references to buying or acquiring similar securities, so, however, that where similar securities are bought or acquired, the owner shall be under no greater liability to income-tax than he would have been under if the original securities had been bought back or reacquired. (2) Where any person has had at any time during any previous year any beneficial interest in any securities, and the result of any transaction relating to such securities or the income thereof is that, in respect of such securities within such year ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ry modifications, as if references to selling back or retransferring the securities included references to selling or transferring similar securities. (6) The 2 [ Assessing ] Officer may, by notice in writing, require any person to furnish him within such time as he may direct (not being less than twenty-eight days), in respect of all securities of which such person was the owner or in which he had a beneficial interest at any time during the period specified in the notice, such particulars as he considers necessary for the purposes of this section and for the purpose of discovering whether income-tax has been borne in respect of the interest on all those securities. 3 [ (7) Where- ( a ) any person buys or acquires any securit ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... hing contained in any other provision of this Act, the amount of loss so ignored shall be deemed to be the cost of purchase or acquisition of such additional 8 [ securities or units ] referred to in clause ( b ) as are held by him on the date of such sale or transfer. ] Explanation. -For the purposes of this section,- ( a ) interest includes a dividend ; 9 [ (aa) record date means such date as may be fixed by- (i) a company; (ii) a Mutual Fund or the Administrator of the specified undertaking or the specified company referred to in the Explanation to clause (35) of section 10; or (iii) a business trust defined in clause (13A) of section 2; or (iv) an Alternative Investment Fund defined in clause (b) of sub-re ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1988. 2. Substituted for Income-tax by the Direct Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1988. 3. Inserted by the Finance Act, 2001, w.e.f. 1-4-2002. 4. Substituted by the Finance (No. 2) Act, 2004, w.e.f. 1-4-2005. Prior to its substitution, clause (b) read as under : (b) such person sells or transfers such securities or unit within a period of three months after such date; 5. Inserted by the Finance (No. 2) Act, 2004, w.e.f. 1-4-2005. 6. Substituted by the Finance (No. 2) Act, 2004, w.e.f. 1-4-2005. Prior to its substitution, clause (aa), as inserted by the Finance Act, 2001, w.e.f. 1-4-2002, read as under : '(aa) record date means such date as ..... X X X X Extracts X X X X X X X X Extracts X X X X
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