Diff. btwn Substantial Interest and...
This query is : Open
24 September 2010
What is the difference between "a person having substantial interest" and a "beneficial owner" ?
25 September 2010
substantial interest means, having 20 % or more voting power or having share in profit on 20% or more, whether individually or with relatives.
beneficial owner means , owner of the business.
beneficial owner means , owner of the business.
Message likes :
1 times
25 September 2010
Thank you sir.
But I am still not clear whether both the terms are similar or different, because:
1. Sec-2(32) of IT Act defines a personhaving substantial interest as "person who is beneficial owner of shares,not being entitled to fixed share of dividend, whether with or without a right to participate in profits carrrying not less than 20% of voting power."
2.On the other hand when I read Section 94(2) of IT Act, which provides for the prevention of the practice of sale of securities-cum-interest by an assesse who has a "beneficial interest in such securities".
I have the doubt because the former uses the term 'beneficial owner' while defining a person having substantial interest And the latter uses the term 'assesse having beneficial interest'
Please explain.
But I am still not clear whether both the terms are similar or different, because:
1. Sec-2(32) of IT Act defines a personhaving substantial interest as "person who is beneficial owner of shares,not being entitled to fixed share of dividend, whether with or without a right to participate in profits carrrying not less than 20% of voting power."
2.On the other hand when I read Section 94(2) of IT Act, which provides for the prevention of the practice of sale of securities-cum-interest by an assesse who has a "beneficial interest in such securities".
I have the doubt because the former uses the term 'beneficial owner' while defining a person having substantial interest And the latter uses the term 'assesse having beneficial interest'
Please explain.
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- ITR filing- non tax audit cases- Asstt.Year 2026-2027
- Soyabean hsn code and gst rate
- TAN for Partnership
- Treatment of Pension ?annuity returns on PMVY
- TDS related Query_Liquidated Damages
- Long Term Service award taxability in hands of company
- Free lancer income
- NON- SUBMISSION OF LLP FORM 3
- CA IPCC Registeration in 2012, Is my registration Active or Expired
- AY 26-27 ITR-4 FILING U/S 44-ADA
- Form 27Q Correction statement taking too long to update on IT Portal
- ITR selection for salaries and capital gain less than L
- Showing Gift from relative in ITR for this year
- Gst invoice numbering and delivery challan numbering
- Standard Deduction claim for EPFO Pension and ICICI Prudential Life Annuity
- Small dealers gst returns filing
- Sales amount in Gstr1
- CG after sale of flat
- E Commerce GSTR1 & 3B how to file
- GST Cancellation without jurisdiction
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
Subscribe to Pro
Join an elite circle of professionals
CAclubindia
