Income Tax Act, 2025
Section 18: Subs. by Act 25 of 2014, s. 4, for “Commissioner” (w.e.f. 12013).
18. Subs. by Act 25 of 2014, s. 4, for “Commissioner” (w.e.f. 12013).
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(40) “regular assessment” means the assessment made under 2[sub-section (3) of
section 143] or section 144;
(41) “relative”, in relation to an individual, means the husband, wife, brother or sister or any
lineal ascendant or descendant of that individual;
3[(41A) “resulting company” means one or more companies (including a wholly owned subsidiary
thereof) to which the undertaking of the demerged company is transferred in a demerger and, the
resulting company in consideration of such transfer of undertaking, issues shares to the shareholders
of the demerged company and includes any authority or body or local authority or public sector
company or a company established, constituted or formed as a result of demerger;]
(42) “resident” means a person who is resident in India within the meaning of section 6;
4[(42A) 5[“short-term capital asset” means a capital asset held by an assessee for not more than
6[thirty-sixmonths] immediately preceding the date of its transfer:]]
7[Provided that in the case of 8[a security (other than a unit) listed in a recognised stock exchange
in India] 9[or a unit of the Unit Trust of India established under the Unit Trust of India Act, 1963 (52
of 1963) or 10[a unit of an equity oriented fund]] 11[or a zero coupon bond], the provisions of this
clause shall have effect as if for the words “thirty-six months”, the words “twelve months” had been
substituted:]
12[Provided further that in case of a share of a company (not being a share listed in a recognised
stock exchange) or a unit of a Mutual Fund specified under clause (23D) of section 10, which is
transferred during the period beginning on the 1st day of April, 2014 and ending on the 10th day of
July, 2014, the provisions of this clause shall have effect as if for the words “thirty-six months”, the
words “twelve months” had been substituted:]
13[Provided also that in the case of a share of a company (not being a share listed in a recognised
stock exchange in India), 14[or an immovable property, being land or building or both] the provisions
of this clause shall have effect as if for the words “thirty-six months”, the words “twenty-four
months” had been substituted.]
15[Explanation 1].—(i) In determining the period for which any capital asset is held by the
assessee—
(a) in the case of a share held in a company in liquidation, there shall be excluded the period
subsequent to the date on which the company goes into liquidation;
1. Clause (39) omitted by Act 18 of 1992, s. 3 (w.e.f. 11993). Earlier clause (39) substituted by Act 36 of 1989, s. 2
(w.e.f. 11989) which was later omitted by Act 4 of 1988, s. 3 (w.e.f. 11989) and again restored by Act 3 of 1989, s.
95 (w.e.f. 11989).
“regular assessment” means the assessment made under 2[sub-section
of
section 143] or section 144;
“relative”, in relation to an individual, means the husband, wife, brother or sister or any
lineal ascendant or descendant of that individual;
3[
“resulting company” means one or more companies (including a wholly owned subsidiary
thereof) to which the undertaking of the demerged company is transferred in a demerger and, the
resulting company in consideration of such transfer of undertaking, issues shares to the shareholders
of the demerged company and includes any authority or body or local authority or public sector
company or a company established, constituted or formed as a result of demerger;]
“resident” means a person who is resident in India within the meaning of section 6;
4[
5[“short-term capital asset” means a capital asset held by an assessee for not more than
6[thirty-sixmonths] immediately preceding the date of its transfer:]]
7[Provided that in the case of 8[a security (other than a unit) listed in a recognised stock exchange
in India] 9[or a unit of the Unit Trust of India established under the Unit Trust of India Act, 1963 (52
of 1963) or 10[a unit of an equity oriented fund]] 11[or a zero coupon bond], the provisions of this
clause shall have effect as if for the words “thirty-six months”, the words “twelve months” had been
substituted:]
12[Provided further that in case of a share of a company (not being a share listed in a recognised
stock exchange) or a unit of a Mutual Fund specified under clause
of section 10, which is
transferred during the period beginning on the 1st day of April, 2014 and ending on the 10th day of
July, 2014, the provisions of this clause shall have effect as if for the words “thirty-six months”, the
words “twelve months” had been substituted:]
13[Provided also that in the case of a share of a company (not being a share listed in a recognised
stock exchange in India), 14[or an immovable property, being land or building or both] the provisions
of this clause shall have effect as if for the words “thirty-six months”, the words “twenty-four
months” had been substituted.]
15[Explanation 1].—
In determining the period for which any capital asset is held by the
assessee—
in the case of a share held in a company in liquidation, there shall be excluded the period
subsequent to the date on which the company goes into liquidation;
1. Clause
omitted by Act 18 of 1992, s. 3 (w.e.f. 11993). Earlier clause
substituted by Act 36 of 1989, s. 2
(w.e.f. 11989) which was later omitted by Act 4 of 1988, s. 3 (w.e.f. 11989) and again restored by Act 3 of 1989, s.
95 (w.e.f. 11989).