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TypeBare Act JurisdictionCentral Government

Finance (No. 2) Act, 1996 Section 2

In the case of a company

~3 min read
https://sooperkanoon.com/act/454393

Bare act section · Research

About this section

Finance (No. 2) Act, 1996 Section 2 is part of Finance (No. 2) Act, 1996 - In the case of a company. Read the section text below and explore Indian court judgments that cite it.

Research copy - verify against official government publications before filing or court use.

Section Text

a) where the company is a domestic company-

(i) on income by way of interest other than 20 per cent; "interest on securities"

(ii) on income by way of winnings from 40 per cent; lotteries and crossword puzzles (iii) on income by way of winnings from 40 per cent: horse races (iv) on any other income 21.5 per cent;

(b) where the company is not a domestic company-

(i) on income by way of dividends payable 20 per cent; by any domestic company (ii) on income by way of winnings from 40 per cent; lotteries and crossword puzzles (iii) on income by way of winnings from 40 per cent; horse races (iv) on income by way of interest payable 20 per cent; by Government or an Indian concern on moneys borrowed or debt incurred by Government or the Indian concern in foreign currency (v) on income by way of royalty payable by 30 per cent; Government or an Indian concern in pursuance of an agreement made by it with the Government or the Indian concern after the 31st day of March, 1976, where such royalty is in consideration for the transfer of all or any rights (including the granting of a licence) in respect of copyright in any book on a subject referred to in the First proviso to sub-section (1-A) ofSection 115-A of the Income Tax Act-, to the Indian concern, or in respect of any computer software referred to in the second proviso to sub-section (1-A) ofSection 115-A of the Income Tax Act-, to a person resident in India (vi) on income by way of royalty [not being royalty of the nature referred to in sub- item (b)(v)] payable by Government or an Indian concern in pursuance of an agreement made by it with the Government or the Indian concern and where such agreement is with an Indian concern, the agreement is approved by the Central Government or where it relates to a matter included in the industrial policy, for the time being in force, of the Government of India, the agreement is in accordance with that policy-

(A) where the agreement is made 50 per cent after the 31st day of March, 1961 but before the 1st day of April, 1976 (B) where the agreement is made 30 per cent; after the 31st day of March, 1976 (vii) on income by way of fees for technical services payable by Government or an Indian concern in pursuance of an agreement made by it with the Government or the Indian concern and where such agreement is with an Indian concern, the agreement is approved by the Central Government or where it relates to a matter included in the industrial policy, for the time being in force, of the Government of India, the agreement is in accordance with that policy-

(A) where the agreement is made 50 per cent; after the 29th-day of February, 1964 but before the 1st day of April, 1976 (B) where the agreement is made 30 per cent; after the 31st day of March, 1976 (via) on income by way of long-term capital 20 per cent; gains (ix) on any other income 55 per cent;Explanation.-For the purpose of Item \(b)(i) of this part, "investment income" and "non-resident Indian" shall have the meanings assigned to them in Chapter XII-A of the Income Tax Act. Surcharge on Income Tax The amount of income tax deducted in accordance with the provisions of sub-item (a) of Item 2 of this Part shall be increased by a surcharge calculated at the rate of seven-and-a-half per cent of such income tax

Frequently asked questions

What does Finance (No. 2) Act, 1996 Section 2 provide?

Section Section 2 of the Finance (No. 2) Act, 1996 (In the case of a company) is reproduced on this page as part of the Finance (No. 2) Act, 1996. Lawyers and researchers use it to read the statutory wording before checking how courts have applied this section in reported judgments.

How do I find judgments on Finance (No. 2) Act, 1996 Section 2?

Open “Find citing judgments” on this page to search Supreme Court, High Court, and tribunal decisions that reference Finance (No. 2) Act, 1996 Section 2. Advanced act search can narrow results by court, year, or additional act filters.

Is the section text on SooperKanoon official?

SooperKanoon hosts bare act text for research and quick reference. For filings or compliance in Central, confirm the wording against the official state gazette or authorized publication.

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