Initial issue of equity share capital: subscriptions opening before cutoff retain wealth-tax exemption despite later subscriptions. Equity shares forming part of an initial issue of equity share capital that opened for subscription before June 1, 1971 continue to qualify for the wealth-tax exemption under clause (xx) of sub-section (1) of section 5 even if subscribed for after that date; issues opened after May 31, 1971 are excluded by the Finance (No. 2) Act, 1971. Shares not covered by clause (xx) may fall within the separate aggregate investment exemption under clause (xxiii) read with sub-section (1A).
Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.
Provisions expressly mentioned in the judgment/order text.
Initial issue of equity share capital: subscriptions opening before cutoff retain wealth-tax exemption despite later subscriptions.
Equity shares forming part of an initial issue of equity share capital that opened for subscription before June 1, 1971 continue to qualify for the wealth-tax exemption under clause (xx) of sub-section (1) of section 5 even if subscribed for after that date; issues opened after May 31, 1971 are excluded by the Finance (No. 2) Act, 1971. Shares not covered by clause (xx) may fall within the separate aggregate investment exemption under clause (xxiii) read with sub-section (1A).
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