Section(s) Referred: s. 54EA(1)
Statute: INCOME TAX
Date of Issue: 6/8/1999
In exercise of the powers conferred by sub-section (1) of section 54EA of the Income-tax Act, 1961 (43 of 1961), the Central Board of Direct Taxes hereby specifies equity shares to be issued within a period of one year from date of publication of this notification in the Official Gazette for amounts not exceeding rupees sixty-six crores by M/s Reliance Ports and Terminals Limited, a public limited company registered under the Companies Act, 1956, and having its registered office at village Meghpar, Taluka Lapar, District-Jamnagar, Gujarat—361140, for the purposes of aforesaid sub-section :
Provided that the investment in the aforesaid equity shares is to be made by an assessee out of net consideration arising out from transfer of long-term capital asset in accordance with the provisions of section 54EA of the Income-tax Act, 1961 :
Provided further that in case the assessee converts into money or transfers aforesaid equity shares allotted to him in any manner within a period of three years from the date of their allotment the initial investment made by such assessee in the aforesaid equity shares shall be chargeable to tax under the head “Capital gain” in accordance with the provision of sub-section (2) of section 54EA of the Income-tax Act, 1961.
[F. No. 178/65/98-ITA-I]