Finance (No. 2) Bill, 2009

Chapter: I
PRELIMINARY
Clause 1	:	Short title and commencement.
Chapter: II
RATES OF INCOME-TAX
Clause 2	:	RATES OF INCOME-TAX Clause 2, read with the First Schedule to the Bill, seeks to specify the rates at which income-tax is to be levied on income ....
Chapter: III
DIRECT TAXES
Clause 3	:	Amendment of section 2. Clause 3 of the Bill seeks to amend section 2 of Income-tax Act relating to definitions. Clause (15) of the said section of t....
Clause 4	:	Amendment of section 10. Clause 4 of the Bill seeks to amend section 10 of the Incometax Act relating to incomes not included in total income.It is pr....
Clause 5	:	Amendment of section 10A. Clause 5 of the Bill seeks to amend section 10A of the Income tax Act relating to special provision in respect of newly estab....
Clause 6	:	Amendment of section 10AA Clause 6 of the Bill seeks to amend section 10AA of the Incometax Act relating to special provision in respect of newly estab....
Clause 7	:	Amendment of section 10B. Clause 7 of the Bill seeks to amend section 10B of the Incometax Act relating to special provisions in respect of newly estab....
Clause 8	:	Insertion of new section 13B. Clause 8 of the Bill seeks to insert new section 13B relating to voluntary contributions received by electoral trusts. The pr....
Clause 9	:	Amendment of section 17. Clause 9 of the Bill seeks to amend section 17 of the Incometax Act, which relates to definitions of salary , perquisite and ....
Clause 10	:	Amendment of section 28. Clause 10 of the Bill seeks to amend section 28 of the Incometax Act relating to profits and gains of business or profession.....
Clause 11	:	Amendment of section 32. Clause 11 of the Bill seeks to amend section 32 of the Incometax Act, relating to depreciation. It is proposed to amend Expla....
Clause 12	:	Amendment of section 35. Clause 12 of the Bill seeks to amend section 35 of the Incometax Act relating to expenditure on scientific research The exist....
Clause 13	:	Insertion of new section 35AD. Clause 13 of the Bill seeks to insert a new section 35AD in the Income-tax Act which relates to deduction in respect of Expen....
Clause 14	:	Amendment of section 36. Clause 14 of the Bill seeks to amend section 36 of the Incometax Act which relates to other deductions. The existing provisio....
Clause 15	:	Amendment of section 40. Clause 15 of the Bill seeks to amend sub-clause (v) of clause (b) of section 40 of the Income-tax Act, relating to amounts no....
Clause 16	:	Amendment of section 40A. Clause 16 of the Bill seeks to amend section 40A of the Incometax Act relating to expenses or payments not deductible in cert....
Clause 17	:	Amendment of section 43. Clause 17 of the Bill seeks to amend section 43 of the Incometax Act, relating to definitions of certain terms relevant to in....
Clause 18	:	Amendment of section 44AA. Clause 18 of the Bill seeks to amend section 44AA of the Incometax Act relating to maintenance of accounts by certain persons....
Clause 19	:	Amendment of section 44AB. Clause 19 of the Bill seeks to amend section 44AB of the Incometax Act relating to the audit of accounts of certain persons c....
Clause 20	:	Substitution of new section for section 44AD. Clause 20 of the Bill seeks to substitute section 44AD of the Act relating to special provision for computing profits and gai....
Clause 21	:	Amendment of section 44AE Clause 21 of the Bill seeks to amend section 44AE of the Incometax Act, relating to special provision for computing profits a....
Clause 22	:	Amendment of section 44AF Clause 22 of the Bill proposes to omit section 44AF of the Income-tax Act relating to special provisions for computing profit....
Clause 23	:	Amendment of section 49 Clause 23 of the Bill seeks to amend section 49 of the Incometax Act, which relates to cost with reference to certain modes o....
Clause 24	:	Amendment of section 50B Clause 24 of the Bill seeks to amend section 50B of the Incometax Act relating to special provision for cost of computation o....
Clause 25	:	Amendment of section 50C Clause 25 of the Bill seeks to amend section 50C of the Incometax Act relating to special provision for full value of conside....
Clause 26	:	Amendment of section 56 Clause 26 of the Bill seeks to amend section 56 of the Incometax Act relating to income from other sources. The existing prov....
Clause 27	:	Amendment of section 57 Clause 27 of the Bill seeks to amend section 57 of the Incometax Act, which relates to deductions. The existing provisions co....
Clause 28	:	Insertion of new section 73A Clause 28 of the Bill seeks to insert a new section 73A which contains provisions relating to carry forward and set off of lo....
Clause 29	:	Amendment of section 80A Clause 29 of the Bill seeks to amend section 80A of the Incometax Act relating to deductions to be made from the gross total ....
Clause 30	:	Amendment of section 80CCD Clause 30 of the Bill seeks to amend section 80CCD of the Income-tax Act relating to deduction in respect of contribution to ....
Clause 31	:	Amendment of section 80DD Clause 31 of the Bill seeks to amend section 80DD of the Income-tax Act, which relates to deduction in respect of maintenance....
Clause 32	:	Amendment of section 80E Clause 32 of the Bill seeks to amend clause (c) of sub-section (3) of section 80E of the Income-tax Act relating to deduction....
Clause 33	:	Amendment of section 80G Clause 33 of the Bill seeks to amend section 80G of the Income tax Act, relating to deductions in respect of donations to cer....
Clause 34	:	Amendment of section 80GGB Clause 34 of the Bill seeks to amend section 80GGB which relates to deduction in respect of contributions given by companies ....
Clause 35	:	Amendment of section 80GGC Clause 35 of the Bill seeks to amend section 88GGC which relates to deduction in respect of contributions given by any person....
Clause 36	:	Amendment of section 80-IA Clause 36 of the Bill seeks to amend section 80-IA of the Incometax Act relating to deductions in respect of profits and gain....
Clause 37	:	Amendment of section 80-IB Clause 37 of the Bill seeks to amend section 80-IB of the Incometax Act, which relates to deduction in respect of profits and....
Clause 38	:	Amendment of section 89 Clause 38 of the Bill seeks to amend section 89 of the Incometax Act relating to relief when salary, etc., is paid in arrears....
Clause 39	:	Substitution of new section for section 90 Clause 39 of the Bill proposes to substitute section 90 of the Income-tax Act, relating to agreement with foreign countries. ....
Clause 40	:	Amendment of section 92C Clause 40 of the Bill seeks to amend section 92C of the Incometax Act which relates to computation of arm s length price. Und....
Clause 41	:	Amendment of section 92CA Clause 41 of the Bill seeks to insert a new section 92CB in the Income-tax Act, relating to power of Board to make safe harbo....
Clause 42	:	Amendment of section 115BBC Clause 42 of the Bill seeks to amend section 115BBC of the Income-tax Act relating to anonymous donations to be taxed in cert....
Clause 43	:	Amendment of section 115JA Clause 43 of the Bill seeks to amend section 115JA of the Income-tax, relating to deemed income relating to certain companies....
Clause 44	:	Amendment of section 115JAA Clause 44 of the Bill seeks to amend section 115JAA of the Act relating to tax credit in respect of tax paid on deemed income....
Clause 45	:	Amendment of section 115JB Clause 45 of the Bill seeks to amend section 115JB of the Act relating to special provision for payment of tax by certain com....
Clause 46	:	Amendment of section 115-O Clause 46 of the Bill seeks to amend section 115-O of the Income-tax Act relating to tax on distributed profits of domestic c....
Clause 47	:	Amendment of section 115WE Clause 47 of the Bill seeks to amend section 115WE of the Income-tax Act relating to Assessment. Sub-section (1B) of the said....
Clause 48	:	Insertion of new section 115WM Clause 48 of the Bill seeks to insert a new section 115WM relating to Chapter XII-H not to apply after certain date . The pro....
Clause 49	:	Amendment of section 131 Clause 49 of the Bill seeks to amend section 131 of the Incometax Act which relates to power regarding discovery, production ....
Clause 50	:	Amendment of section 132 Clause 50 of the Bill seeks to amend sub-section (1) of section 132 of the Income-tax Act relating to search and seizure. The....
Clause 51	:	Amendment of section 132A Clause 51 of the Bill seeks to amend sub-section (1) of section 132A of the Income-tax Act relating to powers to requisition ....
Clause 52	:	Amendment of section 139A Clause 52 of the Bill seeks to amend section 139A of the Income tax Act relating to Permanent Account Number (PAN). The exist....
Clause 53	:	Amendment of section 140 Clause 53 of the Bill seeks to amend section 140 of the Incometax Act relating to return by whom to be signed. Under the exis....
Clause 54	:	Amendment of section 143 Clause 54 of the Bill seeks to amend section 143 of the Incometax Act relating to Assessment. Sub-section (1B) of the said se....
Clause 55	:	Insertion of new section 144C Clause 55 of the Bill seeks to insert a new section 144C in the Income-tax Act relating to Dispute Resolution Panel. The subj....
Clause 56	:	Substitution of new section for section 145A Clause 56 of the Bill seeks to substitute section 145A of the Income-tax Act, which relates to method of accounting in certai....
Clause 57	:	Amendment of section 147 Clause 57 of the Bill seeks to amend section 147 relating to income escaping assessment. It is proposed to insert Explanation....
Clause 58	:	Insertion of new section 167C Clause 58 seeks to insert a new section 167C relating to liability of partners of limited liability partnership in liquidatio....
Clause 59	:	Amendment of section 194A Clause 59 of the Bill seeks to amend section 194A which relates to interest other than interest on securities . The existing ....
Clause 60	:	Substitution of new section for section 194C Clause 60 seeks to substitute the existing section 194C of the Income-tax Act relating to deduction of tax at source on payme....
Clause 61	:	Amendment of section 194-I Clause 61 of the Bill seeks to amend section 194-I of the Incometax Act, which relates to deduction of tax at source on any i....
Clause 62	:	Amendment of section 197A Clause 62 of the Bill seeks to amend section 197A of the Income tax Act which relates to no deduction to be made in certain c....
Clause 63	:	Amendment of section 200 Clause 63 of the Bill seeks to amend section 200 of the Income tax Act relating to duty of the person deducting tax. The prop....
Clause 64	:	Insertion of new section 200A Clause 64 of the Bill seeks to insert new section 200A providing for processing of statements of tax deducted at source. The ....
Clause 65	:	Amendment of section 201 Clause 65 of the Bill seeks to amend section 201 of the Income tax Act which relates to consequences of failure to deduct or ....
Clause 66	:	Amendment of section 203A Clause 66 of the Bill seeks to amend section 203A of the Income tax Act which relates to tax deduction and collection account....
Clause 67	:	Amendment of section 206A Clause 67 of the Bill seeks to amend section 206A of the Income tax Act relating to furnishing of quarterly return in respect....
Clause 68	:	Insertion of new section 206AA Clause 68 seeks to insert a new section 206AA after section 206A of the Income-tax Act relating to requirement to furnish Per....
Clause 69	:	Amendment of section 206C Clause 69 of the Bill seeks to amend section 206C of the Incometax Act relating to profits and gains from the business of tra....
Clause 70	:	Amendment of section 208 Clause 70 of the Bill seeks to amend section 208 of the Incometax Act relating to conditions of liability to pay advance tax.....
Clause 71	:	Amendment of section 246A Clause 71 of the Bill seeks to amend section 246A of the Incometax Act relating to appeal filed before Commissioner (Appeals)....
Clause 72	:	Amendment of section 253 Clause 72 of the Bill seeks to amend section 253 of the Incometax Act relating to appeals to the Appellate Tribunal. It is pr....
Clause 73	:	Amendment of section 271 Clause 73 of the Bill seeks to amend section 271 of the Incometax Act which relates to penalties imposable for failure to fur....
Clause 74	:	Amendment of section 272A Clause 74 of the Bill seeks to amend section 272A of the Incometax Act which relates to penalty for failure to answer questio....
Clause 75	:	Amendment of section 281B Clause 75 of the Bill seeks to amend section 281B of the Incometax Act relating to provisional attachment to protect revenue ....
Clause 76	:	Substitution of new section for section 282 Clause 76 of the Bill seeks to substitute section 282 of the Income-tax Act which relates to service of notice generally. Und....
Clause 77	:	Insertion of new section 282B Clause 77 of the Bill seeks to insert a new section 282B of the Income-tax Act relating to allotment of Document Identificati....
Clause 78	:	Insertion of new section 293C Clause 78 of the Bill seeks to insert new section 293C in the Income-tax Act, relating to power to withdraw the approval. It ....
Clause 79	:	Amendment of First Schedule Clause 79 of the Bill seeks to amend rule 5 of the First Schedule of the Income-tax Act, relating to computation of profits a....
Clause 80	:	Amendment of Fourth Schedule Clause 80 of the Bill seeks to amend Part A of the Fourth Schedule to the Income-tax Act, which relates to recognised provide....
Clause 81	:	Amendment of Thirteenth Schedule Clause 81 of the Bill seeks to amend the Thirteenth Schedule of the Income-tax Act. The said Schedule specifies the list of a....
Clause 82	:	Amendment of section 3 Clause 82 of the Bill seeks to amend section 3 of the Wealthtax Act, relating to charge of wealth tax. Under the existing pro....
Clause 83	:	Amendment of section 44A Clause 83 of the Bill seeks to amend section 44A of the Wealth tax Act relating to agreement for avoidance or relief of doubl....
Chapter: IV
INDIRECT TAXES
Clause 84	:	Insertion of new section 26A Clause 84 of the Bill seeks to insert a new section 26A in the Customs Act to provide for refund of import duty paid at the t....
Clause 85	:	Amendment of section 28F Clause 85 of the Bill seeks to amend section 28F of the Customs Act with a view to provide that the Central Government may, b....
Clause 86	:	Amendment of section 130 Clause 86 of the Bill seeks to amend section 130 of the Customs Act retrospectively with effect from 1 st day of July, 2003 s....
Clause 87	:	Amendment of section 130A Clause 87 of the Bill seeks to amend section 130A of the Customs Act retrospectively with effect from 1 st day of July, 1999 ....
Clause 88	:	Amendment of section 137 Clause 88 of the Bill seeks to amend sub-section (3) of section 137 of the Customs Act to,- (a) empower the Central Governmen....
Clause 89	:	Amendment of section 156 Clause 89 of the Bill seeks to amend section 156 of the Customs Act with a view to empower the Central Goverment to make rule....
Clause 90	:	Amendment of section 157 Clause 90 of the Bill seeks to amend section 157 of the Customs Act with a view to empower the Board to make regulations to p....
Clause 91	:	Validation of certain actions taken by officers of customs appointed under section 4 Clause 91 of the Bill seeks to give retrospective effect to the notification published vide G.S.R. No. 173(E), dated 17th Mar....
Clause 92	:	Amendment of notification issued under section 25 of the Customs Act Clause 92 of the Bill seeks to amend the notification number G.S.R. 260(E) dated the 1st May, 2006 retrospectively with effec....
Clause 93	:	Amendment of section 3 Clause 93 of the Bill seeks to amend section 3 of the Customs Tariff Act so as to provide that where the Central Government h....
Clause 94	:	Amendment of section 8B Clause 94 of the Bill seeks to amend section 8B of the Customs Tariff Act retrospectively so as to extend the provisions of t....
Clause 95	:	Validation of certain actions taken under section 8B of Act 51 of 1975 Clause 95 of the Bill seeks to validate certain actions taken under any rule, regulation, notification or order made or issue....
Clause 96	:	Amendment of section 8C Clause 96 of the Bill seeks to amend section 8C of the Customs Tariff Act retrospectively so as to extend the machinery provi....
Clause 97	:	Validation of certain actions taken under section 8C of Act 51 of 1975 Clause 97 of the Bill seeks to validate certain actions taken under any rule, regulation, notification or order made or issue....
Clause 98	:	Amendment of section 9 Clause 98 of the Bill seeks to amend section 9 of the Customs Tariff Act retrospectively so as to extend the machinery provis....
Clause 99	:	Validation of certain actions taken under section 9 of Act 51 of 1975 Clause 99 of the Bill seeks to validate certain actions taken under any rule, regulation, notification or order made or issue....
Clause 100	:	Amendment of section 9A Clause 100 of the Bill seeks to amend section 9A of the Customs Tariff Act as follows,- (a) sub-clause (i) seeks to insert th....
Clause 101	:	Validation of certain actions taken under section 9A of Act 51 of 1975 Clause 101 of the Bill seeks to validate certain actions taken under any rule, regulation, notification or order made or issu....
Clause 102	:	Amendment of First Schedule. Clause 102 of the Bill seeks to amend Para (A) of Note 2 of SECTION XI of First Schedule to the Customs Tariff Act to provide....
Clause 103	:	Amendment of section 9A Clause 103 of the Bill seeks to amend section 9A of the Central Excise Act with a view to amend sub-section (2) thereof by in....
Clause 104	:	Amendment of section 14A Clause 104 of the Bill seeks to amend section 14A of the Central Excise Act by inserting the words chartered accountant in su....
Clause 105	:	Amendment of section 14AA Clause 105 of the Bill seeks to amend section 14AA of the Central Excise Act by inserting the words chartered accountant in s....
Clause 106	:	Amendment of section 23A Clause 106 of the Bill proposes to amend section 23A of the Central Excise Act by amending the definition of Authority in cla....
Clause 107	:	Amendment of section 35G Clause 107 of the Bill seeks to amend section 35G of the Central Excise Act retrospectively with effect from 1 st day of July....
Clause 108	:	Amendment of section 35H Clause 108 of the Bill seeks to amend section 35H of Central Excise Act retrospectively with effect from 1 st day of July, 19....
Clause 109	:	Amendment of section 37 Clause 109 of the Bill seeks to amend section 37 of the Central Excise Act with a view to empower the Central Government to m....
Clause 110	:	Amendment of notifications issued under section 37 of Central Excise Act and validation of certain action taken Clause 110 of the Bill seeks to amend notification numbers G.S.R. 448(E), dated the 1 st August, 1997, G.S.R. 503(E), dated t....
Clause 111	:	Amendment of First Schedule to Act 5 of 1986 Clause 111 of the Bill seeks to amend the First Schedule to the Central Excise Tariff Act (i) by substituting Note 1 of Chapt....
Chapter: V
Service tax
Clause 112	:	Amendment of Act 32 of 1994 Clause 112 of the Bill seeks to amend section 65 of the Finance Act, 1994 as under, - sub-clause (1) seeks to amend clause (1....
Chapter: VI
MISCELLANEOUS
Clause 113	:	Amendment of section 13 of Act 58 of 2002 Clause 113 of the Bill seeks to amend section 13 of the Unit Trust of India (Transfer of Undertaking and Repeal) Act, 2002. T....
Clause 114	:	Amendment of Chapter VII of Finance (No. 2) Act, 2004 Clause 114 of the Bill seeks to insert new section 113A in Chapter VII of the Finance (No. 2) Act, 2004 relating to Securitie....
Clause 115	:	Amendment of Act 18 of 2008 Clause 115 of the Bill seeks to insert a new section 121A to the Finance Act, 2008 which relates to provisions of Chapter VII....
Clause 116	:	Repeal Clause116 of the Bill seeks to repeal the Finance Act, 2009 (26 of 2009).....
SCHEDULES
Sch-01	:	THE FIRST SCHEDULE
Sch-02	:	THE SECOND SCHEDULE
Sch-03	:	THE THIRD SCHEDULE
Sch-04	:	THE FOURTH SCHEDULE
Sch-05	:	THE FIFTH SCHEDULE
Statements - Notes - Memorandum
MEMORANDUM	:	MEMORANDUM REGARDING DELEGATED LEGISLATION
Notes	:	Notes on Clauses - Income Tax, Wealth Tax
Notes	:	Notes on Clauses Customs
Notes	:	Notes on Clauses Excise
Notes	:	Notes on Clauses Service Tax
Notes	:	Miscellaneous
STATEMENT	:	STATEMENT OF OBJECTS AND REASONS