Income-tax Act, 2025

Tax on income from Global Depository Receipts purchased in foreign currency or capital gains arising from their transfer - Section 193

Tax on income from Global Depository Receipts purchased in foreign currency or capital gains arising from their transfer.

193. (1) Where the total income of an assessee, being an individual, who is a resident and an employee of an Indian company engaged in specified knowledge based industry or service or an employee of its subsidiary engaged in specified knowledge based industry or service (hereafter in this section referred to as the resident employee), includes income specified in column B of the Table below, the income-tax payable shall be the aggregate of income-tax computed at the rate specified in the column C applied on the corresponding income specified in column B.

TABLE

Sl. No.IncomeRate of Income-tax payable

ABC

1.Income from dividend on Global Depository Receipts of an Indian company engaged in specified knowledge based industry or service, issued as per such Employees' Stock Option Scheme as the Central Government may, by notification, specify in this behalf and purchased by him in foreign currency.10%

2.Income from long-term capital gains arising from the transfer of Global Depository Receipts referred to in serial number 1.12.5%

3.Total income as reduced by income referred to in serial numbers 1 and 2.Rates in force.

(2) Where the gross total income of the resident employee

(a) consists only of income by way of dividends in respect of Global Depository Receipts referred to in sub-section (1) (Table: Sl. No. 1), no deduction shall be allowed to him under any other provision of this Act;

(b) includes any income referred to in sub-section (1) (Table: Sl. No. 1 or 2),

(i) the gross total income shall be reduced by such income; and

(ii) 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) The section 72(6) shall not apply for computation of .... To read the full section download the app from Google Play store