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          <h1>Finance Act Update: Section 116 Revises Commodity Derivatives Clauses, Includes Options, Excludes Agricultural Commodities, Updates Legal References.</h1> Section 116 of the Finance Act, 2013, as amended by the Finance Act, 2020, effective April 1, 2020, revises clauses regarding commodity derivatives. Clause (7) now includes sales based on prices or indices of commodity derivatives, options on derivatives, and options in goods, excluding agricultural commodities, traded on recognized stock exchanges. Clause (8) updates the reference from the Forward Contracts (Regulation) Act, 1952, to the Securities Contracts (Regulation) Act, 1956, and includes provisions for notifications issued in addition to rules made.

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