Insertion of new section 94B.

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..... nything contained in this Act, where an Indian company, or a permanent establishment of a foreign company in India, being the borrower, incurs any expenditure by way of interest or of similar nature exceeding one crore rupees which is deductible in computing income chargeable under the head Profits and gains of business or profession in respect of any debt issued by a nonresident, being an assoc .....

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..... yable to associated enterprises for that previous year, whichever is less. (3) Nothing contained in sub-section (1) shall apply to an Indian company or a permanent establishment of a foreign company which is engaged in the business of banking or insurance. (4) Where for any assessment year, the interest expenditure is not wholly deducted against income under the head Profits and gains o .....

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..... section (1) and sub-section (2) of section 92A; (ii) debt means any loan, financial instrument, finance lease, financial derivative, or any arrangement that gives rise to interest, discounts or other finance charges that are deductible in the computation of income chargeable under the head Profits and gains of business or profession ; (iii) permanent establishment includes a fixed p .....

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