{"act":{"id":"finance-act-1999","short_title":"The Finance Act, 1999","long_title":"An Act to give effect to the financial proposals of the Central Government for the financial year 1999-2000.","act_number":null,"act_year":1999,"enact_date":null,"enforcement_date":null,"ministry":"Ministry of Finance","department":"Department of Revenue","jurisdiction":"CENTRAL","unit":"section","section_count":102,"in_force":true,"spent":false,"spent_note":null,"duplicate_of":null,"text_source":"published","scan_url":null,"url":"https://indiacode.ecourtsindia.com/finance-act-1999/"},"unit":"section","section":{"number":"34","heading":"Amendment of section 47","text":"Amendment of section 47. 34. In section 47 of the Income-tax Act, after clause (via), the following clauses shall be inserted with effect from the 1st day of April, 2000, namely :— \"(vib) any transfer, in a demerger, of a capital asset by the demerged company to the resulting company, if the resulting company is an Indian company; (vic) any transfer in a demerger, of a capital asset, being a share or shares held in an Indian company, by the demerged for­eign company to the resulting foreign company, if— (a) at least seventy-five per cent of the shareholders of the demerged foreign company continue to remain shareholders of the resulting foreign company; and (b) such transfer does not attract tax on capital gains in the country, in which the demerged foreign company is incorporat­ed : Provided that the provisions of sections 391 to 394 of the Compa­nies Act, 1956 (1 of 1956) shall not apply in case of demergers referred to in this clause; (vid) any transfer or issue of shares by the resulting company, in a scheme of demerger to the shareholders of the demerged company if the transfer or issue is made in considera­tion of demerger of the undertaking;\". © Copyright. Taxmann Publications Pvt. Ltd.","html":"<p><b>Amendment of section 47.</b></p><p><b>34.</b> In section 47 of the Income-tax Act, after clause (<i>via</i>), the following clauses shall be inserted with effect from the 1st day of April, 2000, namely :—</p><p>\"(<i>vib</i>) any transfer, in a demerger, of a capital asset by the demerged company to the resulting company, if the resulting company is an Indian company;</p><p>(<i>vic</i>) any transfer in a demerger, of a capital asset, being a share or shares held in an Indian company, by the demerged for­eign company to the resulting foreign company, if—</p><p>(<i>a</i>) at least seventy-five per cent of the shareholders of the demerged foreign company continue to remain shareholders of the resulting foreign company; and</p><p>(<i>b</i>) such transfer does not attract tax on capital gains in the country, in which the demerged foreign company is incorporat­ed :</p><p><b>Provided</b> that the provisions of sections 391 to 394 of the Compa­nies Act, 1956 (1 of 1956) shall not apply in case of demergers referred to in this clause;</p><p>(<i>vid</i>) any transfer or issue of shares by the resulting company, in a scheme of demerger to the shareholders of the demerged company if the transfer or issue is made in considera­tion of demerger of the undertaking;\".</p><p>© Copyright. Taxmann Publications Pvt. Ltd.</p>","words":207,"text_source":"published"},"classification":[],"instruments":[],"judgments":[],"corresponds_to":[],"url":"https://indiacode.ecourtsindia.com/finance-act-1999/section/34/","note":null,"source_note":"Harvested from the Income Tax Department's own portal at incometaxindia.gov.in, which publishes the Finance Acts section by section. India Code carries none of them: its Central community holds the Acts that stand as general law, and a Finance Act is an amending and rate-fixing instrument.","judgments_note":"Judgment holdings are the ratio decidendi as extracted from the order by eCourts India, reproduced unaltered. Reported judgments only.","licence":"Published with commentary and other original matter under s.52(1)(q)(ii), Copyright Act 1957."}