Section 115D - Special provision for computation of total income of non-residents - Income-tax Act, 1961

Special provision for computation of total income of non-residents. 115D. (1) No deduction in respect of any expenditure or allowance shall be allowed under any provision of this Act in computing the investment income of a non-resident Indian. (2) Where in the case of an assessee, being a non-resident Indian,- ( a ) the gross total income consists only of investment income or income by way of long-term capital gains or both, no deduction shall be allowed to the assessee 1 [ under Chapter VI-A and nothing contained in the provisions of the second proviso to section 48 shall apply to income chargeable under the head Capital gains ]; ( b ) the gross total income includes any income referred to in clause ( a ), the gross total income shall be reduced by the amount of such income and the deductions under Chapter VI-A shall be allowed as if the gross total income as so reduced were the gross total income of the assessee. ---------------------- Notes :- 1. Substituted for under sub-section (2) of section 48 or under Chapter VI-A by the Finance Act, 1992, w.e.f. 1-4-1993. Earlier these words were substituted for under Chapter VI-A by the Direct Tax Laws (Second Amendment) Act, 1989, w.r.e.f. 1-4-1988.