2. In the Income-tax Act, 1961 (hereinafter referred to as the Income-tax Act), in
section 115BBE, for sub-section (1), the following sub-section shall be substituted with
effect from the 1st day of April, 2017, namely:—
“(1) Where the total income of an assessee,—
(a) includes any income referred to in section 68, section 69, section 69A,
section 69B, section 69C or section 69D and reflected in the return of income
furnished under section 139; or
Short title and
commencement.
Amendment of
section 115BBE.
43 of 1961.
EXTRAORDINARY
PART II — Section 1
PUBLISHED BY AUTHORITY
No. 57] NEW DELHI, THURSDAY, DECEMBER 15, 2016/AGRAHAYANA 24, 1938 (SAKA)
Separate paging is given to this Part in order that it may be filed as a separate compilation.
MINISTRY OF LAW AND JUSTICE
(Legislative Department)
New Delhi, Thursday, 15th December, 2016/Agrahayana 24, 1938 (Saka)
The following Act of Parliament received the assent of the President on the
15th December, 2016, and is hereby published for general information:—
2 THE GAZETTE OF INDIA EXTRAORDINARY [PART II—
(b) determined by the Assessing Officer includes any income referred to
in section 68, section 69, section 69A, section 69B, section 69C or section 69D,
if such income is not covered under clause (a),
the income-tax payable shall be the aggregate of—
(i) the amount of income-tax calculated on the income referred to in
clause (a) and clause (b), at the rate of sixty per cent.; and
(ii) the amount of income-tax with which the assessee would have
been chargeable had his total income been reduced by the amount of
income referred to in clause (i).”.
3. In the Income-tax Act, in section 271AAB,—
(I) in sub-section (1), after the words, figures and letters “the 1st day of July,
2012”, the words, brackets and figures “but before the date on which the Taxation
Laws (Second Amendment) Bill, 2016 receives the assent of the President” shall be
inserted;
(II) after sub-section (1), the following sub-section shall be inserted, namely:—
“(1A) The Assessing Officer may, notwithstanding anything contained in
any other provisions of this Act, direct that, in a case where search has been
initiated under section 132 on or after the date on which the Taxation Laws
(Second Amendment) Bill, 2016 receives the assent of the President, the assessee
shall pay by way of penalty, in addition to tax, if any, payable by him,—
(a) a sum computed at the rate of thirty per cent. of the undisclosed
income of the specified previous year, if the assessee—
(i) in the course of the search, in a statement under
sub-section (4) of section 132, admits the undisclosed income and
specifies the manner in which such income has been derived;
(ii) substantiates the manner in which the undisclosed income
was derived; and
(iii) on or before the specified date—
(A) pays the tax, together with interest, if any, in respect
of the undisclosed income; and
(B) furnishes the return of income for the specified
previous year declaring such undisclosed income therein;
(b) a sum computed at the rate of sixty per cent. of the undisclosed
income of the specified previous year, if it is not covered under the
provisions of clause (a).”;
(III) in sub-section (2), after the words, brackets and figure “in sub-section
(1)”, the words, brackets, figure and letter “or sub-section (1A)” shall be inserted.
4. In the Income-tax Act, after section 271AAB, the following section shall be inserted
with effect from the 1st day of April, 2017, namely:—
“271AAC. (1) The Assessing Officer may, notwithstanding anything contained
in this Act other than the provisions of section 271AAB, direct that, in a case where
the income determined includes any income referred to in section 68, section 69,
section 69A, section 69B, section 69C or section 69D for any previous year, the
assessee shall pay by way of penalty, in addition to tax payable under section 115BBE,
a sum computed at the rate of ten per cent. of the tax payable under clause (i) of
sub-section (1) of section 115BBE:
Provided that no penalty shall be levied in respect of income referred to in
section 68, section 69, section 69A, section 69B, section 69C or section 69D to the
extent such income has been included by the assessee in the return of income
Insertion of
new section
271AAC.
Amendment
of section
271AAB.
Penalty in
respect of
certain income.
SEC. 1] THE GAZETTE OF INDIA EXTRAORDINARY 3
furnished under section 139 and the tax in accordance with the provisions of clause
(i) of sub-section (1) of section 115BBE has been paid on or before the end of the
relevant previous year.
(2) No penalty under the provisions of section 270A shall be imposed upon the
assessee in respect of the income referred to in sub-section (1).
(3) The provisions of sections 274 and 275 shall, as far as may be, apply in
relation to the penalty referred to in this section.”.