Tax on income from Global depository receipts purchased in foreign currency or capital gains arising from their transfer

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....y way of ^7[dividends] on Global Depository Receipts of an Indian company engaged in specified knowledge based industry or service, issued in accordance with such Employees' Stock Option Scheme as the Central Government may, by notification in the Official Gazette, specify in this behalf and purchased by him in foreign currency; or (b) income by way of long-term capital gains arising from the transfer of Global Depository Receipts referred to in clause (a), the income-tax payable shall be the aggregate of- (i) the amount of income-tax calculated on the income by way of ^7[dividends] in respect of Global Depository Receipts referred to in clause (a), if any, included in the total income, at the rate of ten per cent; ....

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....under any other provision of this Act; (b) includes any income referred to in clause (a) or clause (b) of sub-section (1), the gross total income shall be reduced by the amount of such income and the deduction under any provision of this Act shall be allowed as if the gross total income as so reduced were the gross total income of the assessee. (3) Nothing contained in the first and second provisos to section 48 shall apply for the computation of long-term capital gains arising out of the transfer of long-term capital asset, being Global Depository Receipts referred to in clause (b) of sub-section (1). Explanation.-For the purposes of this section,- (a) "Global Depository Receipts" means any instrument in the form of....

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....ng company to issue Global Depository Receipts against issue of Foreign Currency Convertible Bonds or ordinary shares of the issuing company.]     **************** NOTES:- 1. Inserted vide Section 59 of the Finance Act, 1999 w.e.f. 01-04-2000 2. Substituted vide Section 53 of the Finance Act, 2001 w.e.f. 01-04-2001 before it was read as, "(1) Where the total income of an assessee, being an individual, who is a resident and an employee of an Indian company engaged in information technology software and information technology services (hereafter in this section referred to as the resident employee), includes- (a)  income by way of dividends, other than dividends referred ....

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.... 2003 w.e.f. 01-04-2004 Earlier, Omitted vide Section 47 of the Finance Act, 2002 w.e.f. 01-04-2003 before it was read as, ", other than dividends referred to in section 115-O," 5. Inserted vide Section 52 of the Finance Act, 2003 w.e.f. 01-04-2004 Earlier, Omitted vide Section 47 of the Finance Act, 2002 w.e.f. 01-04-2003 before it was read as, ", other than dividends referred to in section 115-O,". 6. Substituted vide Section 29 of the Finance Act 2015 w.e.f. 01-04-2016 before it was read as, "issued to non-resident investors against the issue of ordinary shares or foreign currency convertible bonds of issuing company" 7. Substituted vide Section 49 of the Finance Act, 2020&nb....