TMI BlogIncome-tax (3rd Amendment) Rules, 2006 - New Rule 8B & 8C and Form 5B addedX X X X Extracts X X X X X X X X Extracts X X X X ..... day of April, 2006. 2. In the Income-tax Rules, 1962,- (a) after rule 8A, the following rules shall be inserted, namely:- 'Guidelines for notification of zero coupon bond. 8B. (1) An application by an infrastructure capital company or infrastructure capital fund or a public sector company for notification under clause (48) of section 2 of any zero coupon bond proposed to be issued by it shall be made in Form No. 5B at least three months before the date of issue of such bond: Provided that an application shall not be made for notification of a bond to be issued after two financial years following the financial year in which the application is (2) Every application, under sub-rule (1), shall be accompanied by the following docum ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... by the infrastructural capital company or infrastructure capital fund, such company or fund shall furnish along with the application an undertaking that the money realised on issue of the zero coupon bond shall be invested by It In the following manner, namely:- (i) twenty-five per cent, or more of such realisation before the end of the financial year immediately following the financial year in which the bond is issued; (ii) the balance of such realisation within a period of four financial years immediately following the financial year in which the bond is issued; (v) where the application is made by a pubic sector company, such company shall furnish along with the application an undertaking that the money realised on issue of the zer ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... as the case may be, in sub- clause (i) or sub-clause (ii) of clause (v) of sub-rule (3), a certificate from an accountant as defined in the Explanation to sub-section (2) of section 288, specifying the amount invested in each year. (7) The Central Government shall have the power to withdraw the notification if the applicant fails to fulfil any of the conditions referred to in sub-rule (3) or sub-rule (6). Explanation:- For the purpose of this rule, the expressions "discount" and "period of life of the bond" shall have the same meanings respectively assigned to them in clause (i) and clause (ii) of the Explanation to clause (iiia) of sub-section (1) of section 36. Computation of pro-rata amount of discount on a zero coupon bond for t ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
