Section 35 - Amendment of section 139

Offshore asset reporting expands to require residents with foreign assets or beneficiary interests to file income tax returns.

Residents not ordinarily resident who would otherwise be exempt must file an income-tax return if they hold, as beneficial owner or otherwise, any asset or financial interest located outside India, have signing authority in a foreign account, or are a beneficiary of any foreign asset. The amendment defines 'beneficial owner' as an individual providing consideration for the asset and 'beneficiary' as an individual deriving benefit where another provided the consideration. Investment funds of the specified class not otherwise required to file must furnish annual returns and are subject to the Act as if filing under the principal provision.