Clause 30 - Amendment of section 115AD. - Finance Bill, 2021

Amendment of section 115AD. 30. In section 115AD of the Income-tax Act, with effect from the 1st day of April, 2022, (i) in sub-section (1), (a) in the opening portion, after the words a specified fund , the words or investment division of an offshore banking unit shall be inserted; (b) in clause (b), in sub-clause (i), in item (B), after the words of specified fund , the words or investment division of an offshore banking unit shall be inserted; (ii) after sub-section (1A), the following sub-section shall be inserted, namely: (1B) Notwithstanding anything contained in sub-section (1), in case of investment division of an offshore banking unit, the provisions of this section shall apply to the extent of income that is attributable to the investment division of such banking units, referred to in sub-clause (ii) of clause( c) to the Explanation to clause (4D) of section 10, as a Category-III portfolio investor under the Securities and Exchange Board of India (Foreign Portfolio Investors) Regulations, 2019 made under the Securities And Exchange Board of India Act, 1992 (15 of 1992), calculated in such manner as may be prescribed. ;. (iii) in sub-section (2), after the words the specified fund at both the places where they occur, the words or investment division of an offshore banking unit shall be inserted; (iv) in the Explanation, after clause (a), the following clause shall be inserted, namely: (aa) the expression investment division of offshore banking unit shall have the meaning assigned to it in clause (aa) of the Explanation to clause (4D) of section 10; .