Operating vessel definition expanded to include inland vessels, altering operator characterization and bareboat charter exceptions. Section 115VB of the Income-tax Act is amended to include "inland vessel" within the definition of a company "operating a ship", applying where a company ... Summary
Operating vessel definition expanded to include inland vessels, altering operator characterization and bareboat charter exceptions.
Section 115VB of the Income-tax Act is amended to include "inland vessel" within the definition of a company "operating a ship", applying where a company operates, owns or charters (including part charters such as slot, space or joint charters) an inland vessel. The proviso is amended to provide that a company shall not be regarded as the operator of a ship or inland vessel if it has chartered out the vessel on bareboat charter-cum-demise or bareboat charter terms for a period exceeding three years. The amendment is effective from 1st April, 2026.
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