Additional income-tax on distributed income applies to dividends only, not to redemptions, repurchases, or bonus units. The levy of additional income-tax under the provision applies only to income distributed to unit-holders as dividends by mutual funds or specified companies; receipts on redemption or repurchase of units and allotment of bonus units are not treated as distributed income for this purpose and therefore are outside the scope of the additional tax. Transfer of units may remove the exemption and attract capital gains tax as applicable.
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.
Additional income-tax on distributed income applies to dividends only, not to redemptions, repurchases, or bonus units.
The levy of additional income-tax under the provision applies only to income distributed to unit-holders as dividends by mutual funds or specified companies; receipts on redemption or repurchase of units and allotment of bonus units are not treated as distributed income for this purpose and therefore are outside the scope of the additional tax. Transfer of units may remove the exemption and attract capital gains tax as applicable.
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