Section 45 - Act not to apply in certain cases - Wealth Tax Act, 1957

Act not to apply in certain cases. 1 45. 2 [No tax shall be levied under this Act in respect of the net wealth of ] (a) to (e) 3 [Omitted by the Finance Act, 1992, w.e.f. 1-4-1993.] (f) any company registered under section 25 4 of the Companies Act, 1956 (1 of 1956); 5 [(g) any co-operative society;] 6 [(h) any social club;] 7 [(i) any political party. Explanation . For the purposes of clause (i), "political party" shall have the meaning assigned to it in the Explanation to section 13A of the Income-tax Act;] 8 [(j) a Mutual Fund specified under clause (23D) of section 10 of the Income-tax Act.] 9 [ ( k ) the Reserve Bank of India incorporated under the Reserve Bank of India Act, 1934 (2 of 1934). ] ---------------------------------- Notes;- 1. See also Letter [F. No. 1/11/59-WT], dated 6-3-1959 and Circular No.11-D (WT), dated 17-11-1958. For details, see Referencer. 2. Substituted vide Finance Act, 1972, w.e.f. 1-4-1972. Before it was read as:- "The provisions of this Act shall not apply to " 3. Before omission, clauses ( a ) to ( e ) read as under: '( a ) a banking company as defined in section 5 of the Banking Companies Act, 1949 (10 of 1949); ( b ) an insurer within the meaning of the Insurance Act, 1938 (4 of 1938); ( c ) any company established with the object of financing, whether by way of making loans or advances to, or subscribing to the capital of, private industrial enterprises in India, in any case where the Central Government has made or agreed to make to the company a special advance for the purpose or has guaranteed or agreed to guarantee the payment of moneys borrowed by the company from any institution outside India; ( d ) any company established with the object of carrying on an industrial undertaking in India in any case where the company is not formed by the splitting up, or the reconstruction, of a business already in existence or by the transfer to a new business of any building, machinery or plant used in a business which was being previously carried on: Provided that the exemption granted by clause ( d ) shall apply to any such company as is referred to therein only for a period of five successive assessment years commencing with the assessment year next following the date on which the company is established, which period shall, in the case of a company established before the commencement of this Act, be computed in accordance with this Act from the date of its establishment as if this Act had been in force on and from the date of its establishment. Explanation . For the purposes of clause ( d ), "industrial undertaking" means an undertaking engaged in the manufacture, production or processing of goods or articles or in mining or in the generation or distribution of electricity or any other form of power; ( e ) any company solely engaged in the business of transporting goods or passengers by ships;' 4. For text of section 25 of the Companies Act, 1956 , see Appendix. 5. Inserted vide Finance Act, 1972, w.r.e.f. 1-4-1957. 6. Substituted vide Finance Act, 1992, w.e.f. 1-4-1993. Before substitution, clause (h), as inserted by the Finance Act, 1975, w.r.e.f. 1-4-1957, read as under : "(h) any company incorporated outside India which has no place of business in India;" 7. Inserted vide Taxation Laws (Amendment) Act, 1978, w.e.f. 1-4-1979. 8. Inserted vide Direct Tax Laws (Amendment) Act, 1987 (as amended by the Finance Act,1988), w.e.f. 1-4-1988. 9. Inserted vide Finance Act, 2012, w.e.f. 01-04-1957.