Finance (No. 2) Bill, 2014

Chapter: I
PRELIMINARY
Clause 1	:	Short title and commencement
Chapter: II
RATES OF INCOME-TAX
Clause 2	:	Income tax Clause 2, read with the First Schedule to the Bill, specifies the rates at which income-tax is to be levied on income chargea....
Chapter: III
DIRECT TAXES
Clause 3	:	Amendment of section 2 Clause 3 of the Bill seeks to amend section 2 of the Income- tax Act relating to definitions. It is proposed to amend the sai....
Clause 4	:	Substitution of new authorities Clause 4 of the Bill seeks to make consequential amendments in the Income-tax Act in view of the amendments made in section 2....
Clause 5	:	Amendment of section 10 Clause 5 of the Bill seeks to amend section 10 of the Income- tax Act relating to incomes not included in total income. Under....
Clause 6	:	Amendment of section 10AA Clause 6 of the Bill seeks to amend section 10AA of the Income-tax Act, relating to special provision in respect of newly est....
Clause 7	:	Amendment of section 11 Clause 7 of the Bill seeks to amend section 11 of the Income- tax Act relating to income from property held for charitable or....
Clause 8	:	Amendment of section 12A Clause 8 of the Bill seeks to amend section 12A of the Income- tax Act relating to conditions for applicability of sections 1....
Clause 9	:	Amendment of section 12AA Clause 9 of the Bill seeks to amend section 12AA of the Income-tax Act relating to procedure for registration. Under the exis....
Clause 10	:	Amendment of section 24 Clause 10 of the Bill seeks to amend section 24 of the Income-tax Act relating to deductions from income from house property.....
Clause 11	:	Amendment of section 32AC Clause 11 of the Bill seeks to amend section 32AC of the Income-tax Act relating to Investment in new plant or machinery. The....
Clause 12	:	Amendment of section 35AD Clause 12 of the Bill seeks to amend section 35AD of the Income-tax Act relating to deduction in respect of expenditure on sp....
Clause 13	:	Amendment of section 37 Clause 13 of the Bill seeks to amend section 37 of the Income-tax Act relating to general expenditure. The existing provision....
Clause 14	:	Amendment of section 40 Clause 14 of the Bill seeks to amend section 40 of the Income-tax Act relating to amounts not deductible. The provisions of s....
Clause 15	:	Amendment of section 43 Clause 15 of the Bill seeks to amend section 43 of the Income- tax Act relating to definitions of certain terms relevant to i....
Clause 16	:	Amendment of section 44AE Clause 16 of the Bill seeks to amend section 44AE of the Income-tax Act, relating to special provision for computing profits ....
Clause 17	:	Amendment of section 45 Clause 17 of the Bill seeks to amend section 45 of the Income-tax Act relating to capital gains. The existing provisions cont....
Clause 18	:	Amendment of section 47 Clause 18 of the Bill seeks to amend section 47 of the Income-tax Act relating to transactions not regarded as transfer. The ....
Clause 19	:	Amendment of section 48 Clause 19 of the Bill seeks to amend section 48 of the Income-tax Act relating to mode of computation. The existing provision....
Clause 20	:	Amendment of section 49 Clause 20 of the Bill seeks to amend section 49 of the Income- tax Act relating to cost with reference to certain modes of ac....
Clause 21	:	Amendment of section 51 Clause 21 of the Bill seeks to amend section 51 of the Income-tax Act relating to advance money received. The existing provis....
Clause 22	:	Amendment of section 54 Clause 22 of the Bill seeks to amend section 54 of the Income- tax Act relating to profit on sale of property used for reside....
Clause 23	:	Amendment of section 54EC Clause 23 of the Bill seeks to amend section 54EC of the Income-tax Act relating to capital gain not to be charged on investm....
Clause 24	:	Amendment of section 54F Clause 24 of the Bill seeks to amend section 54F of the Income-tax Act relating to capital gain on transfer of certain capita....
Clause 25	:	Amendment of section 56 Clause 25 of the Bill seeks to amend section 56 of the Income-tax Act relating to income from other sources. It is proposed t....
Clause 26	:	Amendment of section 73 Clause 26 of the Bill seeks to amend section 73 of the Income- tax Act relating to losses in speculation business. The existi....
Clause 27	:	Amendment of section 80C Clause 27 of the Bill seeks to amend section 80C of the Income-tax Act relating to deduction in respect of life insurance pre....
Clause 28	:	Amendment of section 80CCD Clause 28 of the Bill seeks to amend section 80CCD of the Income-tax Act relating to deduction in respect of contribution to ....
Clause 29	:	Amendment of section 80CCE Clause 29 of the Bill seeks to amend section 80CCE of the Income-tax Act relating to limit on deductions under sections 80C, ....
Clause 30	:	Amendment of section 80-IA Clause 30 of the Bill seeks to amend section 80-IA of the Income-tax Act relating to deductions in respect of profits and gai....
Clause 31	:	Amendment of section 92B Clause 31 of the Bill seeks to amend section 92B of the Income-tax Act relating to meaning of international transaction. The ....
Clause 32	:	Amendment of section 92CC Clause 32 of the Bill seeks to amend section 92CC of the Income-tax Act relating to advance pricing agreement. The existing p....
Clause 33	:	Amendment of section 111A Clause 33 of the Bill seeks to amend section 111A of the Income-tax Act relating to tax on short-term capital gains in certai....
Clause 34	:	Amendment of section 112 Clause 34 of the Bill seeks to amend section 112 of the Income-tax Act relating to tax on long-term capital gains. The existi....
Clause 35	:	Amendment of section 115A Clause 35 of the Bill seeks to amend section 115A of the Income-tax Act, relating to tax on dividends, royalty and technical ....
Clause 36	:	Amendment of section 115BBC Clause 36 of the Bill seeks to amend section 115BBC of the Income-tax Act relating to anonymous donations to be taxed in cert....
Clause 37	:	Amendment of section 115BBD Clause 37 of the Bill seeks to amend section 115BBD of the Income-tax Act relating to tax on certain dividends received from ....
Clause 38	:	Amendment of section 115JC Clause 38 of the Bill seeks to amend section 115JC of the Income-tax Act relating to the provisions for payment of tax by cer....
Clause 39	:	Amendment of section 115JEE Clause 39 of the Bill seeks to amend section 115JEE of the Income-tax Act relating to application of the Chapter XII-BA to ce....
Clause 40	:	Amendment of section 115-O Clause 40 of the Bill seeks to amend section 115-O of the Income-tax Act relating to tax on distributed profits of domestic c....
Clause 41	:	Amendment of section 115R Clause 41 of the Bill seeks to amend section 115R of the Income-tax Act relating to tax on distributed income to unit holders....
Clause 42	:	Amendment of section 115TA Clause 42 of the Bill seeks to amend section 115TA of the Income-tax Act relating to tax on distributed income to investors. ....
Clause 43	:	Insertion of new Chapter XII-FA Clause 43 of the Bill seeks to insert a new Chapter XII-FA in the Income-tax Act which deals with Special Provisions Relating....
Clause 44	:	Amendment of section 116 Clause 44 of the Bill seeks to amend section 116 of the Income-tax Act relating to income-tax authorities. Section 116 specif....
Clause 45	:	Amendment of section 133A Clause 45 of the Bill seeks to amend section 133A of the Income-tax Act relating to power of survey. The existing provision c....
Clause 46	:	Insertion of new section 133C- Power to call for information by prescribed income-tax authority Clause 46 of the Bill seeks to insert a new section 133C in the Income-tax Act relating to power to call for information by p....
Clause 47	:	Amendment of section 139 Clause 47 of the Bill seeks to amend section 139 of the Income-tax Act relating to return of income. The existing provisions ....
Clause 48	:	Amendment of section 140 Clause 48 of the Bill seeks to amend section 140 of the Income-tax Act relating to return by whom to be signed. Section 140 o....
Clause 49	:	Substitution of new section for section 142A- Estimation of value of assets by Valuation Officer Clause 49 of the Bill seeks to substitute section 142A of the Income-tax Act relating to estimate by Valuation Officer in cer....
Clause 50	:	Amendment of section 145 Clause 50 of the Bill seeks to amend section 145 of the Income-tax Act relating to method of accounting. The existing provisi....
Clause 51	:	Amendment of section 153 Clause 51 of the Bill seeks to amend section 153 of the Income-tax Act relating to time limit for completion of assessments a....
Clause 52	:	Amendment of section 153B Clause 52 of the Bill seeks to amend section 153B of the Income-tax Act relating to time limit for completion of assessment u....
Clause 53	:	Amendment of section 153C Clause 53 of the Bill seeks to amend section 153C of the Income-tax Act relating to assessment of income of any other person.....
Clause 54	:	Amendment of section 194A Clause 54 of the Bill seeks to amend section 194A of the Income-tax Act relating to deduction of tax at source on interest ot....
Clause 55	:	Insertion of new section 194DA- Payment in respect of life insurance policy Clause 55 of the Bill seeks to insert a new section 194DA in the Income-tax Act relating to payment in respect of life insura....
Clause 56	:	Insertion of new section 194LBA- Certain income from units of a business trust Clause 56 of the Bill seeks to insert a new section 194LBA in the Income-tax Act which relates to certain income from busines....
Clause 57	:	Amendment of section 194LC Clause 57 of the Bill seeks to amend section 194LC of the Income-tax Act relating to income by way of interest from Indian co....
Clause 58	:	Amendment of section 200 Clause 58 of the Bill seeks to amend section 200 of the Income-tax Act relating to duty of person deducting tax. The existing....
Clause 59	:	Amendment of section 200A Clause 59 of the Bill seeks to amend section 200A of the Income-tax Act relating to processing of statements of tax deducted ....
Clause 60	:	Amendment of section 201 Clause 60 of the Bill seeks to amend section 201 of the Income-tax Act relating to consequences of failure to deduct or pay. ....
Clause 61	:	Amendment of section 206AA Clause 61 of the Bill seeks to amend section 206AA of the Income-tax Act relating to requirement to furnish Permanent Account....
Clause 62	:	Amendment of section 220 Clause 62 of the Bill seeks to amend section 220 of the Income-tax Act relating to when tax payable and when assesee deemed i....
Clause 63	:	Amendment of section 269SS Clause 63 of the Bill seeks to amend section 269SS of the Income-tax Act relating to mode of taking or accepting certain loan....
Clause 64	:	Amendment of section 269T Clause 64 of the Bill seeks to amend section 269T of the Income-tax Act relating to mode of repayment of certain loans and de....
Clause 65	:	Amendment of section 271FA Clause 65 of the Bill seeks to amend section 271FA of the Income-tax Act relating to penalty for failure to furnish annual in....
Clause 66	:	Insertion of new section 271FAA- Penalty for furnishing inaccurate statement of financial transaction or reportable account Clause 66 of the Bill seeks to insert a new section 271FAA in the Income-tax Act to provide for penalty for furnishing inaccu....
Clause 67	:	Amendment of section 271G Clause 67 of the Bill seeks to amend section 271G of the Income-tax Act relating to levy of penalty for failure to furnish in....
Clause 68	:	Amendment of section 271H Clause 68 of the Bill seeks to amend section 271H of the Income-tax Act relating to penalty for failure to furnish statements....
Clause 69	:	Amendment of section 276D Clause 69 of the Bill seeks to amend section 276D of the Income-tax Act which relates to failure to produce accounts and docu....
Clause 70	:	Amendment of section 281B Clause 70 of the Bill seeks to amend section 281B of the Income-tax Act relating to provisional attachment to protect revenue....
Clause 71	:	Substitution of new section for section 285BA - Obligation to furnish statement of financial transaction or reportable account Clause 71 of the Bill seeks to substitute section 285BA of the Income-tax Act relating to obligation to furnish annual inform....
Chapter: IV
INDIRECT TAXES
Clause 72	:	Substitution of new authorities Clause 72 of the Bill seeks to amend the Customs Act so as to provide that a reference in the Customs Act to a Chief Commissi....
Clause 73	:	Amendment of section 3 Clause 73 of the Bill seeks to amend section 3 of the Customs Act so as to provide for inclusion of Principal Chief Commissio....
Clause 74	:	Amendment of section 15 Clause 74 of the Bill seeks to amend section 15 of the Customs Act to insert the words or the vehicle so as to determine the ....
Clause 75	:	Amendment of section 25 Clause 75 of the Bill seeks to amend section 25 of the Customs Act so as to insert sub-sections (7) and (8) therein to provid....
Clause 76	:	Amendment of section 46 Clause 76 of the Bill seeks to amend sub-section (3) of section 46 of the Customs Act so as to omit the first proviso and to ....
Clause 77	:	Amendment of section 127A Clause 77 of the Bill seeks to amend clause (f) of section 127A of the Customs Act so as to substitute the words Customs, Cen....
Clause 78	:	Amendment of section 127B Clause 78 of the Bill seeks to amend clause (a) of the first proviso to sub-section (1) of section 127B of the Customs Act so....
Clause 79	:	Amendment of section 127L Clause 79 of the Bill seeks to amend clause (i) of sub-section (1) of section 127L of the Customs Act so as to insert an Expl....
Clause 80	:	Amendment of section 129A Clause 80 of the Bill seeks to substitute the words rupees fifty thousand with the words rupees two lakhs in the second provi....
Clause 81	:	Amendment of section 129B Clause 81 of the Bill seeks to amend section 129B to omit first, second and third proviso of sub-section (2A) of section 129B....
Clause 82	:	Amendment of section 129D Clause 82 of the Bill seeks to insert a proviso in sub-section (3) of section 129D of the Customs Act so as to vest with the ....
Clause 83	:	Substitution of new section for section 129E- Deposit of certain percentage of duty demanded or penalty imposed before filing appeal. Clause 83 of the Bill seeks to substitute section 129E of the Customs Act so as to provide for deposit of certain percentage ....
Clause 84	:	Amendment of section 131BA Clause 84 of the Bill seeks to insert the words The Commissioner (Appeal) in sub-section (4) of section 131BA of the Customs ....
Clause 85	:	Amendment of notification issued under section 25 of Customs Act Clause 85 of the Bill seeks to amend notification issued under sub-section (1) of section 25 of the Customs Act bearing numbe....
Clause 86	:	Amendment of section 8B Customs Tariff Clause 86 of the Bill seeks to amend sub-section (2A) of section 8B of the Customs Tariff Act so as to align t....
Clause 87	:	Amendment of First Schedule Clause 87 of the Bill seeks to amend the First Schedule to the Customs Tariff Act in the manner specified in the Third Schedu....
Clause 88	:	Substitution of new authorities Clause 88 of the Bill seeks to amend the Central Excise Act so that a reference in that Act to a Chief Commissioner of Centra....
Clause 89	:	Amendment of section 2 Clause 89 of the Bill seeks to amend clause (b) of section 2 of the Central Excise Act so as to provide for inclusion of Prin....
Clause 90	:	Insertion of new sections 15A and 15B- Penalty for failure to furnish information return Clause 90 of the Bill seeks to insert a new section 15A in the Central Excise Act so as to empower the Central Government to ....
Clause 91	:	Amendment of section 31 Clause 91 of the Bill seeks to amend clause (g) of section 31 of the Central Excise Act so as to substitute the words Customs....
Clause 92	:	Amendment of section 32 Clause 92 of the Bill seeks to amend sub-section (1) of section 32 of the Central Excise Act with a view to make consequentia....
Clause 93	:	Amendment of section 32E Clause 93 of the Bill seeks to amend sub-section (1) of section 32E of the Central Excise Act by inserting a proviso therein ....
Clause 94	:	Amendment of section 32-O Clause 94 of the Bill seeks to amend clause (i) of sub-section (1) of section 32-O of the Central Excise Act so as to insert ....
Clause 95	:	Amendment of section 35B Clause 95 of the Bill seeks to amend section 35B of the Central Excise Act so as to- (i) amend the second proviso to sub-sect....
Clause 96	:	Amendment of section 35C Clause 96 of the Bill seeks to omit the first, second and third proviso to sub-section (2A) of section 35C of the Central Exc....
Clause 97	:	Amendment of section 35E Clause 97 of the Bill seeks to insert a proviso in sub-section (3) of section 35E of the Central Excise Act so as to vest wit....
Clause 98	:	Substitution of new section for section 35F - Deposit of certain percentage of duty demanded or penalty imposed before filing appeal Clause 98 of the Bill seeks to substitute section 35F of the Central Excise Act to provide for deposit of certain percentage ....
Clause 99	:	Amendment of section 35L Clause 99 of the Bill seeks to insert a new sub-section (2) in section 35L of the Central Excise Act so as to clarify that de....
Clause 100	:	Amendment of section 35R Clause 100 of the Bill seeks to insert the words The Commissioner (Appeals) in sub-section (4) of section 35R so as to enable....
Clause 101	:	Amendment of Pan Masala Packing Machines (Capacity Determination and Collection of Duty) Rules, 2008 Clause 101 of the Bill seeks to amend rule 8 of the Pan Masala Packing Machines (Capacity Determination and Collection of Dut....
Clause 102	:	Amendment of notification number G.S.R. 95 (E), dated 1st March, 2006 issued under section 5A of Central Excise Act Clause 102 of the Bill seeks to amend notification issued under sub-section (1) of section 5A of the Central Excise Act publi....
Clause 103	:	Amendment of notification number G.S.R. 163 (E), dated 17th March, 2012 issued under section 5A of Central Excise Act Clause 103 of the Bill seeks to amend notification issued under sub-section (1) of section 5A of the Central Excise Act vide ....
Clause 104	:	Amendment of Third Schedule Clause 104 of the Bill seeks to amend the Third Schedule to the Central Excise Act in the manner specified in the Seventh Sch....
Clause 105	:	Amendment of First Schedule Clause 105 of the Bill seeks to amend the First Schedule to the Central Excise Tariff Act in the manner specified in the Eigh....
Chapter: V
Service tax
Clause 106	:	Amendment of Act 32 of 1994- Special provision for taxable services provided by Employees’ State Insurance Corporation Clause 106 of the Bill seeks to amend certain provisions in Chapter V of the Finance Act, 1994, relating to service tax, in t....
Chapter: VI
MISCELLANEOUS
Clause 107	:	Amendment of Act 14 of 2001 Clause 107 of the Bill seeks to amend the Seventh Schedule to the Finance Act, 2001 to omit tariff item 2402 20 60 and the en....
Clause 108	:	Amendment of section 13 of Act 58 of 2002 Clause 108 of the Bill seeks to amend section 13 of the Unit Trust of India (Transfer of Undertaking and Repeal) Act, 2002. T....
Clause 109	:	Amendment of Finance (No. 2) Act, 2004 Clause 109 of the Bill seeks to amend Chapter VII of the Finance (No. 2) Act, 2004 which deals with levy of securities transa....
Clause 110	:	Amendment of Act 18 of 2005 Clause 110 of the Bill seeks to amend the marginal heading of section 85 of the Finance Act, 2005 and also the Seventh Schedu....
Clause 111	:	Amendment of Act 14 of 2010 Clause 111 of the Bill seeks to amend section 83 of the Finance Act, 2010 so as to expand the scope of the purposes of levy o....
Clause 112	:	Repeal Clause 112 of the Bill seeks to repeal the Finance Act, 2014.....
SCHEDULES
Schedule 01	:	THE FIRST SCHEDULE -(See section 2) - Rates of Income Tax - Advance Tax and TDS
Schedule 02	:	THE SECOND SCHEDULE - (See section 85) - Amends Notification no. 12/ 2012-Customs
Schedule 03	:	THE THIRD SCHEDULE (See section 87) - First Schedule to the Customs Tariff Act
Schedule 04	:	THE FOURTH SCHEDULE (See section 101) - Provisions of the Pan Masala Packing Machines (Capacity Determination and Collection of Duty) Rules, 2008 to be amended
Schedule 05	:	THE FIFTH SCHEDULE (See section 102) - Amends Notification no. 5/2006-Central Excise, dated the 1st March, 2006
Schedule 06	:	THE SIXTH SCHEDULE(See section 103) - Amends Notification no. 12/2012 - Central Excise, dated the 17th March, 2012
Schedule 07	:	THE SEVENTH SCHEDULE (See section 104) - Third Schedule to the Central Excise Act
Schedule 08	:	THE EIGHTH SCHEDULE (See section 105) - First Schedule to the Central Excise Tariff Act, 1985
Schedule 09	:	THE NINTH SCHEDULE [See section 110 (b)] - Seventh Schedule to the Finance Act, 2005
Chapter: Notes
Statements - Notes - Memorandum
Memo	:	MEMORANDUM REGARDING DELEGATED LEGISLATION
MEMO 1	:	NOTES ON CLAUSES - DIRECT TAXES
MEMO 2	:	NOTES ON CLAUSES - CUSTOMS
MEMO 3	:	NOTES ON CLAUSES - EXCISE
MEMO 4	:	NOTES ON CLAUSES - SERVICE TAX
Notes	:	NOTES ON CLAUSES
STATEMENT	:	STATEMENT OF OBJECTS AND REASONS