Section 31 - Amendment of section 55 - Finance Act, 2003

31. Amendment of section 55.- In section 55 of the Income-tax Act, in sub-section (2) , with effect from the 1st day of April, 2004,- (a) in clause (ab) , for the word "corporatisation", the words "demutua-lisation or corporatisation" shall be substituted; (b) after clause (ab) , the following proviso shall be inserted, namely:- "Provided that the cost of a capital asset, being trading or clearing rights of the recognised stock exchange acquired by a shareholder who has been allotted equity share or shares under such scheme of demutualisation or corporatisation, shall be deemed to be nil;".