Clause 36 - Amendment of section 115AD. - Finance (No. 2) Bill, 2024

Amendment of section 115AD. 36. In section 115AD of the Income-tax Act, in sub-section (1) with effect from the 23rd day of July, 2024, (a) in the longline, in clause (ii), for the proviso, the following proviso shall be substituted and shall be deemed to have been substituted, namely: Provided that the amount of income-tax calculated on the income by way of short-term capital gains referred to in section 111A shall be at the rate of (A) fifteen per cent. for any transfer which takes place before the 23rd day of July, 2024; and (B) twenty per cent. for any transfer which takes place on or after the 23rd day of July, 2024; (b) in clause (iii), for the proviso, the following provisos shall be substituted and shall be deemed to have been substituted, namely: Provided that in case of income arising from the transfer of a long-term capital asset referred to in section 112A which exceeds one lakh and twenty-five thousand rupees, income-tax shall be calculated at the rate of (A) ten per cent. where transfer of such asset takes place before the 23rd day of July, 2024; and (B) twelve and one-half per cent. where transfer of such asset takes place on or after the 23rd day of July, 2024: Provided further that the limit of one lakh twenty-five thousand rupees mentioned in the first proviso shall apply on aggregate of the long-term capital gains referred to in clauses (A) and (B); and .