# The Finance Act, 2016, Section 4: Amendment of section 6

- Act: The Finance Act, 2016
- Ministry: Ministry of Finance
- Source URL: https://indiacode.ecourtsindia.com/finance-act-2016/section/4/

## Text

Amendment of section 6. 4. In section 6 of the Income-tax Act, for clause (3), the following clause shall be substituted with effect from the 1st day of April, 2017, namely:— '(3) A company is said to be a resident in India in any previous year, if— (i) | it is an Indian company; or (ii) | its place of effective management, in that year, is in India. Explanation.—For the purposes of this clause "place of effective management" means a place where key management and commercial decisions that are necessary for the conduct of business of an entity as a whole are, in substance made.'.

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