Tax year

3. More than 1000000. Eight kilometres; ( iv) Gold Deposit Bonds issued under the Gold Deposit Scheme, 1999 or deposit certificates issued under the Gold Monetisation Scheme, 2015 as may be notified by the Central Government, where,— ( A) “Foreign Institutional Investor” shall have the meaning assigned to it in section 210(6)(a); ( B) “personal effects” means any movable property (including wearing apparel and furniture) held for personal use by the assessee or any family member dependent on him, but excludes— ( I) jewellery, which includes— ( a) ornaments made of gold, silver, platinum, or any other precious metal or any alloy of such precious metals, with or without precious or semi-precious stones, and whether or not worked or sewn into any wearing apparel; or ( b) precious or semi-precious stones, whether or not set in any furniture, utensil or other article or worked or sewn into any wearing apparel; or ( II) archaeological collections; or ( III) drawings; or ( IV) paintings; or ( V) sculptures; or ( VI) any work of art; ( C) “population” shall mean the population according to the last preced- ing census of which the relevant figures have been published before the first day of the tax year; ( D) “property” includes any rights in or in relation to an Indian compa- ny, including rights of management or control or any other rights; and ( E) “securities” shall have the same meaning as assigned to it in section 2(h) of the Securities Contracts (Regulation) Act, 1956 (42 of 1956); ( 23) “charitable purpose” includes— ( a) relief of the poor; ( b) education; ( c) yoga; ( d) medical relief; ( e) preservation of environment (including watersheds, forests and wildlife); ( f) preservation of monuments or places or objects of artistic or historic interest; ( g) the advancement of any other object of general public utility; ( 24) “Chief Commissioner” means a person appointed to be a Chief Commis- sioner of Income-tax or a Director General of Income-tax or a Principal Chief Commissioner of Income-tax or a Principal Director General of Income-tax under section 237(1); ( 25) “child”, in relation to an individual, includes a step-child and an adopted child of that individual; ( 26) “Commissioner” means a person appointed to be a Commissioner of Income-tax or a Director of Income-tax or a Principal Commissioner of Income-tax or a Principal Director of Income-tax under section 237(1); (27) “Commissioner (Appeals)” means a person appointed to be a Commis - sioner of Income-tax (Appeals) under section 237(1); ( 28) “company” means— ( a) any Indian company; or ( b) any body corporate incorporated by or under the laws of a country outside India; or ( c) any institution, association or body which is or was assessable or was assessed as a company under the Income-tax Act, 1961, as it stood immediately before its repeal by this Act (herein referred to as the Income-tax Act, 1961) (43 of 1961); or ( d) any institution, association or body, whether incorporated or not and whether Indian or non-Indian, which is declared by order of the Board to be a company for such period as specified in such declaration; ( 29) “company in which the public are substantially interested” means— ( a) a company owned by the Government or the Reserve Bank of India or in which at least 40% of the shares of the company are held (individually or collectively) by the Government or the Reserve Bank of India or a corporation owned by that bank; or ( b) a company which is registered under section 8 of the Companies Act, 2013 (18 of 2013); or ( c) a company having no share capital and if, having regard to its objects, the nature and composition of its membership and other relevant considerations, the Board by order declares it to be such a company for the period as specified in the declaration; or ( d) a mutual benefit finance company, that is to say, a company which carries on, as its principal business, the business of acceptance of deposits from its members and which is declared by the Cen - tral Government under section 406 of the Companies Act, 2013 (18 of 2013), to be a Nidhi or Mutual Benefit Society; or ( e) a company, wherein shares (excluding those entitled to a fixed rate of dividend, with or without a further right to participate in profits) carrying not less than 50% of the voting power, have been unconditionally, allotted to or acquired by, and were beneficially held throughout the relevant tax year by, one or more co-operative societies; or ( f) a company which is not a private company as defined in the Com- panies Act, 2013 (18 of 2013), and either of the following conditions is fulfilled:— ( i) shares in the company (not being shares entitled to a fixed rate of dividend, with or without a further right to participate in profits) were, as on the last day of the relevant tax year, listed in a recognised stock exchange in India as per the Securities Contracts (Regulation) Act, 1956 (42 of 1956) and any rules made thereunder; ( ii) shares in the company (not being those entitled to a fixed rate of dividend, with or without a further right to participate in profits) carrying not less than 50% of the voting power, have been unconditionally, allotted to or acquired by, and were beneficially held throughout the relevant tax year by— ( A) the Government; or ( B) a corporation established by a Central Act or State Act or Provincial Act; or ( C) any company to which this clause applies or any sub - sidiary company of such company, if the entire share capital of such subsidiary company has been held by the parent company or by its nominees throughout the tax year, so, however, that in respect of an Indian company whose business consists mainly in the construction of ships or in the manufacture or processing of goods or in mining or in the generation or dis - tribution of electricity or any other form of power, the expression “not less than 50%” shall be read as if the expression “not less than 40%” had been substituted; ( 30) “convertible foreign exchange” means foreign exchange which is treated by the Reserve Bank of India as convertible foreign exchange for the purposes of the Foreign Exchange Management Act, 1999 (42 of 1999), and any rules made thereunder or any other corresponding law; ( 31) “co-operative bank” shall have the same meaning as specified in Part V of the Banking Regulation Act, 1949 (10 of 1949); 1[(32) “co-operative society” means a co-operative society registered under the Co-operative Societies Act, 1912 (2 of 1912), or the Multi-State Co-operative Societies Act, 2002 (39 of 2002), or under any other law in force in any State or Union territory for the registration of co-operative societies;] ( 33) “currency” shall have the same meaning as assigned to it in section 2(h) of the Foreign Exchange Management Act, 1999 (42 of 1999); ( 34) “demerged company” means the company whose undertaking is trans - ferred, pursuant to a demerger, to a resulting company; ( 35) “demerger”, in relation to companies, means the transfer, pursuant to a scheme of arrangement under sections 230 to 232 of the Companies Act, 2013 (18 of 2013), by a demerged company of its one or more undertakings to any resulting company in such a manner that— ( a) all the property of the undertaking, being transferred by the demerged company, immediately before the demerger, becomes the property of the resulting company by virtue of the demerger; ( b) all the liabilities relatable to the undertaking, being transferred by the demerged company, immediately before the demerger, become the liabilities of the resulting company by virtue of the demerger; ( c) the property and the liabilities of the undertaking or undertakings being transferred by the demerged company are transferred at values appearing in its books of account immediately before the demerger, except in compliance to the Indian Accounting Stand - 1. Substituted by the Finance Act, 2026, w.e.f. 1-4-2026. Prior to its substitution, clause ( 32) read as under : ‘( 32) “co-operative society” means a co-operative society registered under the Co-operative Societies Act, 1912 (2 of 1912), or under any other law in force in any State or Union territory for the registration of co-operative societies;’ ards specified in Annexure to the Companies (Indian Accounting Standards) Rules, 2015 made under the Companies Act, 2013 (18 of 2013); ( d) the resulting company issues, in consideration of the demerger, its shares to the shareholders of the demerged company on a pro- portionate basis, except where the resulting company itself is a shareholder of the demerged company; ( e) the shareholders holding not less than three-fourths in value of the shares in the demerged company (other than shares already held therein immediately before the demerger, or by a nominee for, the resulting company or, its subsidiary) become shareholders of the resulting company or companies by virtue of the demerger, other- wise than as a result of the acquisition of the property or assets of the demerged company or any undertaking thereof by the resulting company; ( f) the transfer of the undertaking is on a going concern basis; and ( g) the demerger is as per the conditions, if any, notified under section 116(7) by the Central Government, where,— ( i) “undertaking” shall include any part of an undertaking, or a unit or division of an undertaking or a business activity taken as a whole, but does not include individual assets or liabilities or any combi - nation thereof not constituting a business activity; ( ii) “liabilities relatable to the undertaking”, referred to in sub-clause (b), shall include— ( A) the liabilities which arise out of the activities or operations of the undertaking; ( B) the specific loans or borrowings (including debentures) raised, incurred and utilised solely for the activities or oper- ations of the undertaking; and ( C) the amount “N”, being the amount of general or multipurpose borrowings of the undertaking, as computed below, in cases other than those referred to in item (A) or (B),— N= K L M×     where,— K = the amount of general or multipurpose borrowings of the demerged company; L = the value of the assets transferred in a demerger; and M = the total value of the assets of such demerged com- pany immediately before the demerger; ( iii) any change in the value of assets consequent to their revaluation shall be ignored for determining the value of the property referred to in sub-clause (c); ( iv) the splitting up or the reconstruction of any authority or a body constituted or established under a Central Act or State Act or Pro- vincial Act, or a local authority or a public sector company, into separate authorities or bodies or local authorities or companies, as the case may be, shall be deemed to be a demerger if it fulfils such conditions as the Central Government may, by notification, specify; (v) the reconstruction or splitting up of a company, which ceased to be a public sector company as a result of transfer of its shares by the Central Government, into separate companies, shall be deemed to be a demerger, if it has been made to give effect to any condition attached to the said transfer of shares and also fulfils such other conditions as the Central Government may, by notification, specify; ( vi) the reconstruction or splitting up of a public sector company into separate companies shall be deemed to be a demerger, if it has been made to transfer any asset of the demerged company to the resulting company and the resulting company— ( A) is a public sector company on the appointed day indicated in such scheme approved by the Central Government or any other body authorised under the Companies Act, 2013 (18 of 2013) or any other applicable law governing such public sector companies; and ( B) fulfils such other conditions as the Central Government may, by notification, specify in this behalf; ( 36) “D