Tax on income of Foreign Institutional Investors from securities or capital gains arising from their transfer

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....1[(i) the amount of income-tax calculated on the income in respect of securities referred to in clause (a), if any, included in the total income,- (A) at the rate of twenty per cent. in case of Foreign Institutional Investor; (B) at the rate of ten per cent. in case of specified fund:] ^6[Provided that the amount of income-tax calculated on the income by way of interest referred to in section 194LD shall be at the rate of five per cent;] (ii) the amount of income-tax calculated on the income by way of short-term capital gains referred to in clause (b), if any, included in the total income, at the rate of thirty per cent: ^18[Provided that the amount of income-tax calculated on the income by way o....

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....specified fund, the provision of this section shall apply only to the extent of income that is attributable to units held by non-resident (not being a permanent establishment of a non-resident in India) calculated in the prescribed manner.] ^16[(1B) Notwithstanding anything contained in sub-section (1), where the specified fund is investment division of an offshore banking unit, the provisions of this section shall apply to the extent of income that is attributable to the investment division of such banking units, referred to in sub-clause (ii) of clause (c) to the Explanation to clause (4D) of section 10, as a Category-I portfolio investor under the Securities and Exchange Board of India (Foreign Portfolio Investors) Regulations, 2019 m....

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....he meaning assigned to it in clause (iiia) of section 92F; (c) the expression "securities" shall have the meaning assigned to it in clause (h) of section 2 of the Securities Contracts (Regulation) Act, 1956 (42 of 1956); (d) the expression "specified fund" shall have the same meaning assigned to it in clause (c) of the Explanation to clause (4D) of section 10.]]     **************** NOTES:- 1. Inserted vide Section 21 of the Finance Act, 1993 w.e.f. 01-04-1993  2. Substituted vide Section 38 of the Finance (No. 2) Act, 1998 w.e.f. 01-04-1999 before it was read as, "(a) income other than income by way of dividends referred to in section 115-O received in respect....

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....rtain Provisions) Act 2020 w.e.f. 01-04-2021 before it was read as, "Foreign Institutional Investor" 11.  Substituted vide Section 4 of the The Taxation and Other Laws (Relaxation and Amendment of Certain Provisions) Act 2020 w.e.f. 01-04-2021 before it was read as, "(i) the amount of income-tax calculated on the income in respect of securities referred to in clause (a), if any, included in the total income, at the rate of twenty per cent;" 12. Substituted vide Section 4 of the The Taxation and Other Laws (Relaxation and Amendment of Certain Provisions) Act 2020 w.e.f. 01-04-2021 before it was read as, "Foreign Institutional Investor" 13.  Inser....