Income Tax

Public Sector Company Deemed Demerger on Shares Transfer by Central Government and reconstruction or splitting up. CBDT Notification No. 93/2016

Public Sector Company Deemed Demerger on Shares Transfer by Central Government 

MINISTRY OF FINANCE
Department of Revenue

CENTRAL BOARD OF DIRECT TAXES

Notification No. 93/2016

New Delhi, the 14th October, 2016

(INCOME-TAX)

S.O. 3204(E).— In exercise of the powers conferred by Explanation 5 to clause (19AA) of section 2 of the Income-tax Act, 1961 (43 of 1961), the Central Government hereby specifies that 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 the following conditions are fulfilled, namely:—

(i) that such reconstruction or splitting up has been made to transfer any assets of the demerged company to the resulting company to give effect to the conditions mentioned in the Share Holders’ Agreement and Share Purchase Agreement; and

(ii) that the resulting company is a public sector company.

[F. No.149/251/2015-TPL]

PRAVIN RAWAL,

Director (Tax Policy and Legislation)

Share

Recent Posts

  • Income Tax

Information in loose papers not corroborated with assessee, can’t be said to belong to assessee

When information contained in loose papers not corroborated with assessee, there is absolutely no room for presumption that it belongs…

19 hours ago
  • Income Tax

Setting aside remand order of CIT(A) without interfering with direction to delete addition, did not revive AO’s order

When CIT(A) order to remand case to AO was set aside without interfering with direction to delete addition, order of…

21 hours ago
  • arbitration

Whether Arbitral Tribunal can grant a prohibited claim in a contract – Larger Bench to decide

Whether a prohibited claim in a contract applies only to the employer and not to the Arbitral Tribunal – Matter…

2 days ago
  • contract-law

Court can examine contractual employee termination on sole ground of ineligibility

Where a contractual employee is terminated on the sole ground of ineligibility, the Court is entitled to examine its correctness…

2 days ago
  • EPFO

Upon deceased acquiring family, as specified earlier GPF nomination became invalid – SC

Upon deceased acquiring family, GPF nomination in favour of mother became invalid and in absence of fresh nomination, mother and…

2 days ago
  • GST

Auto Suspension of GST Registration due to Non-Furnishing of Bank Account Details

GSTN Advisory on Auto Suspension of GST Registration due to Non-Furnishing of Bank Account Details as per Rule 10A As…

2 days ago