Amendment of section 393

Section 84 of the Finance Act, 2026 deals with amendment of section 393. Amendment of section 393. 84. In section 393 of the Income-tax Act,— (a) | in sub-section (1), in the Table, in serial number 3, in Note 3, for the words, figures and brackets "serial number 3(iii)", the words, figures and brackets "serial number 3(i)" shall be substituted;

Amendment of section 393.

84. In section 393 of the Income-tax Act,—

(a)		in sub-section (1), in the Table, in serial number 3, in Note 3, for the words, figures and brackets "serial number 3(iii)", the words, figures and brackets "serial number 3(i)" shall be substituted;
(b)		in sub-section (4), in the Table, against serial number 7, in column C,—

(i)		in clause (a), in sub-clause (i), after the words "banking company", the words and brackets "or any co-operative society engaged in carrying on the business of banking (including a co-operative land mortgage bank)" shall be inserted;
(ii)		in clause (b), in the long line, in sub-clause (c), for item (iv), the following item shall be substituted, namely:—
		"(iv) on the compensation amount awarded by a Motor Accidents Claims Tribunal—

(A)		to an individual; or
(B)		to a person other than an individual, where the aggregate interest on such compensation does not exceed Rs. 50000 during the tax year;";

(c)		sub-section (6) shall be renumbered as sub-section (6)(a) thereof and after sub-section (6)(a) as so renumbered, the following clause shall be inserted with effect from the 1st April, 2027, namely:—
		"(b) The declaration referred in clause (a) may also be furnished electronically to a depository, as defined in section (2)(e) of the Depositories Act, 1996 (22 of 1996), where—

(i)		the income is from units, interest on securities or dividends, as the case may be, as referred to in section 393(1) [Table: 4(i), 5(i) or 7];
(ii)		such units or securities are held with such depository; and
(iii)		such securities are listed on a recognised stock exchange,

in accordance with such procedure and manner, as may be prescribed.";

(d)		for sub-section (7), the following sub-section shall be substituted, namely:—
		"(7) The person responsible for paying any income or sum of the nature referred to in sub-section (6) shall deliver or cause to be delivered, such declaration referred therein, received from the person, as specified in column B of the Table in sub-section (6) or the depository, to the prescribed income-tax authority, on or before the seventh day of the month immediately following the end of each quarter in which declaration is furnished to him as per sub-section (6).".

Section 84, The Finance Act, 2026 (Act 4 of 2026).