Amendment of section 139.
35. In section 139 of the Income-tax Act, with effect from the 1st day of April, 2016,—
| (I) | in sub-section (1),— |
| (A) | for fourth proviso, the following provisos shall be substituted, namely:— | |
| \"Provided also that a person, being a resident other than not ordinarily resident in India within the meaning of clause (6) of section 6, who is not required to furnish a return under this sub-section and who at any time during the previous year,— |
| (a) | holds, as a beneficial owner or otherwise, any asset (including any financial interest in any entity) located outside India or has signing authority in any account located outside India; or | |
| (b) | is a beneficiary of any asset (including any financial interest in any entity) located outside India, |
| shall furnish, on or before the due date, a return in respect of his income or loss for the previous year in such form and verified in such manner and setting forth such other particulars as may be prescribed: | ||
| Provided also that nothing contained in the fourth proviso shall apply to an individual, being a beneficiary of any asset (including any financial interest in any entity) located outside India where, income, if any, arising from such asset is includible in the income of the person referred to in clause (a) of that proviso in accordance with the provisions of this Act:\"; | ||
| (B) | after Explanation 3, the following Explanations shall be inserted, namely:— | |
| 'Explanation 4.—For the purposes of this section \"beneficial owner\" in respect of an asset means an individual who has provided, directly or indirectly, consideration for the asset for the immediate or future benefit, direct or indirect, of himself or any other person. | ||
| Explanation 5.—For the purposes of this section \"beneficiary\" in respect of an asset means an individual who derives benefit from the asset during the previous year and the consideration for such asset has been provided by any person other than such beneficiary.'; |
| (II) | in sub-section (4C), in clause (e),—. |
| (a) | after the words \"other educational institution referred to in\", the words, brackets, figures and letters \"sub-clause (iiiab)or\" shall be inserted; | |
| (b) | after the words \"other medical institution referred to in\", the words, brackets, figures and letters \"sub-clause (iiiac)or\" shall be inserted; |
| (III) | after sub-section (4E), the following sub-section shall be inserted, namely:— | |
| \"(4F)Every investment fund referred to in section 115UB, which is not required to furnish return of income or loss under any other provisions of this section, shall furnish the return of income in respect of its income or loss in every previous year and all the provisions of this Act shall, so far as may be, apply as if it were a return required to be furnished under sub-section (1).\". | ||
| (IV) | in sub-section (6), for the words \"assets of the prescribed nature, value and belonging to him\", the words \"assets of the prescribed nature and value, held by him as a beneficial owner or otherwise or in which he is a beneficiary\" shall be substituted. |