Income Tax Act, 2025
Section 4: Subs. by Act 32 of 2003, s. 54, for “income-derive” (w.e.f. 12004).
4. Subs. by Act 32 of 2003, s. 54, for “income-derive” (w.e.f. 12004).
479
(iv) any security of the Central Government as defined in clause (2) of section 2 of the Public
Debt Act, 1944 (18 of 1944);
(v) such other assets as the Central Government may specify in this behalf by notification in
the Official Gazette.
115D. Special provision for computation of total income of non-residents.—(1) No deduction in
respect of any expenditure or allowance shall be allowed under any provision of this Act in computing the
investment income of a non-resident Indian.
(2) Where in the case of an assessee, being a non-resident Indian,—
(a) the gross total income consists only of investment income or income by way of long-term
capital gains or both, no deduction shall be allowed to the assessee 1[under Chapter VI-A and nothing
contained in the provisions of the second proviso to section 48 shall apply to income chargeable
under the head “Capital gains”];
(b) the gross total income includes any income referred to in clause (a), the gross total income
shall be reduced by the amount of such income and the deductions under Chapter VIA shall be
allowed as if the gross total income as so reduced were the gross total income of the assessee.
2[115E. Tax on investment income and long-term capital gains.—Where the total income of an
assessee, being a non-resident Indian, includes—
(a) any income from investment or income from long-term capital gains of an asset other than a
specified asset;
(b) income by way of long-term capital gains,
the tax payable by him shall be the aggregate of—
(i) the amount of income-tax calculated on the income in respect of investment income referred
to in clause (a), if any, included in the total income, at the rate of twenty per cent;
(ii) the amount of income-tax calculated on the income by way of long-term capital gains
referred to in clause (b), if any, included in the total income, at the rate of ten per cent; and
(iii) the amount of income-tax with which he would have been chargeable had his total income
been reduced by the amount of income referred to in clauses (a) and (b).]
115F. Capital gains on transfer of foreign exchange assets not to be charged in certain cases.—
(1) Where, in the case of an assessee being a non-resident Indian, any long-term capital gains arise from
the transfer of a foreign exchange asset (the asset so transferred being hereafter in this section referred to
as the original asset), and the assessee has, within a period of six months after the date of such transfer,
invested 3*** the whole or any part of the net consideration in any specified asset 4***, or in any savings
certificates referred to in clause (4B) of section 10 (such specified asset 5***, or such savings certificates
being hereafter in this section referred to as the new asset), the capital gain shall be dealt with in
accordance with the following provisions of this section, that is to say,—
(a) if the cost of the new asset is not less than the net consideration in respect of the original
asset, the whole of such capital gain shall not be charged under section 45;
1. Subs. by Act 18 of 1992, s. 57, for “under sub-section (2) of section 48 or under Chapter VIA” (w.e.f. 11993).
any security of the Central Government as defined in clause
of section 2 of the Public
Debt Act, 1944 (18 of 1944);
such other assets as the Central Government may specify in this behalf by notification in
the Official Gazette.
115D. Special provision for computation of total income of non-residents.—
No deduction in
respect of any expenditure or allowance shall be allowed under any provision of this Act in computing the
investment income of a non-resident Indian.
Where in the case of an assessee, being a non-resident Indian,—
the gross total income consists only of investment income or income by way of long-term
capital gains or both, no deduction shall be allowed to the assessee 1[under Chapter VI-A and nothing
contained in the provisions of the second proviso to section 48 shall apply to income chargeable
under the head “Capital gains”];
the gross total income includes any income referred to in clause
any income from investment or income from long-term capital gains of an asset other than a
specified asset;
income by way of long-term capital gains,
the tax payable by him shall be the aggregate of—
the amount of income-tax calculated on the income in respect of investment income referred
to in clause
the amount of income-tax calculated on the income by way of long-term capital gains
referred to in clause
the amount of income-tax with which he would have been chargeable had his total income
been reduced by the amount of income referred to in clauses
and
Where, in the case of an assessee being a non-resident Indian, any long-term capital gains arise from
the transfer of a foreign exchange asset (the asset so transferred being hereafter in this section referred to
as the original asset), and the assessee has, within a period of six months after the date of such transfer,
invested 3*** the whole or any part of the net consideration in any specified asset 4***, or in any savings
certificates referred to in clause
of section 10 (such specified asset 5***, or such savings certificates
being hereafter in this section referred to as the new asset), the capital gain shall be dealt with in
accordance with the following provisions of this section, that is to say,—
if the cost of the new asset is not less than the net consideration in respect of the original
asset, the whole of such capital gain shall not be charged under section 45;
1. Subs. by Act 18 of 1992, s. 57, for “under sub-section
of section 48 or under Chapter VIA” (w.e.f. 11993).