Section 16 - Amendment of section 74A - Finance Act, 1986

16. Amendment of section 74A In section 74A of the Income-tax Act, with effect from the 1st day of April, 1987, - (a) sub-sections (1) and (2) shall be omitted; (b) in sub-section (3), - (i) in the opening portion, - (A) the words Where for any assessment year, shall be omitted; (B) for the portion beginning with the words the net result of the computation and ending with the words owning and maintaining race horses , the following shall be substituted, namely :- the amount of loss incurred by the assessee in the activity of owning and maintaining race horses in any assessment year shall not be set off against income, if any, from any source other than the activity of owning and maintaining race horses in that year and ; (ii) in clause (a), for the words, brackets, letter and figure from the source specified in clause (c) of sub-section (2) , the words from the activity of owning and maintaining race horses, shall be substituted.