Exemption from Taxation of gift received U/s 56(2) - any movable property, being shares or units or interest in the resultant fund received by the fund management entity, in lieu of shares or units or interest held by the investment manager entity in the original fund, pursuant to the relocation, subject to conditions - Income-tax (Thirteenth Amendment) Rules, 2023 - Amends Rule 11UAC - 51/2023 - Income Tax

Income-tax Rule 11UAC Amended: Tax Exemption for Movable Property During Fund Relocation, Effective July 18, 2023.

The Income-tax (Thirteenth Amendment) Rules, 2023, effective from July 18, 2023, amend Rule 11UAC of the Income-tax Rules, 1962. The amendment exempts from taxation any movable property, such as shares or units, received by a fund management entity in a resultant fund during a relocation. This exemption applies if at least 90% of shares or units in both the resultant and original fund management entities are held by the same entities or persons in the same proportion. Definitions for terms like 'relocation,' 'original fund,' and 'resultant fund' are provided, aligning with existing regulations.