Tonnage Taxation - Section 115V, 115VA, 115VB, 115VC, 115VD

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....ome" means the income of a tonnage tax company computed in accordance with the provisions of this Chapter; * "Tonnage tax activities" means the activities referred to in sub-sections (2) and (5) of Section 115V-I; * "Tonnage tax company" means a qualifying company in relation to which tonnage tax option is in force; * "Tonnage tax scheme" means a scheme for computation of profits and gains of business of operating qualifying ships under the provisions of this Chapter. Computation of profits and gains from the business of operating qualifying ships  Section 115VA * It is optional for a qualifying company, for the income from the business of operating qualifying ships, to compute its income as per tonnage tax scheme, or to compu....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....rtered in by it in an arrangement such as slot charter, space charter or joint charter : * However, a company shall not be regarded as the operator of a ship or inland vessel, as the case may be, which has been chartered out by it on bareboat charter-cum-demise terms or on bareboat charter terms for a period exceeding three years. Qualifying Company Section 115VC A company is a qualifying company if: * It is an Indian company; * The place of effective management (i.e., where decision take place) of the company is in India; * It owns at least one qualifying ships; and * The main object of the company is to carry on the business of operating ships. Qualifying Ship Section 115VD  Upto 31.03.2026 A ship is a qualifying....