Clarification Regarding Scope of Additional Income Tax on Distributed Income Under Section 115R of the Income Tax Act

According to the new CBDT circular, additional income tax u/s 115R to be levied on income distributed by way of dividend to unit-holders, not receipts from redemption/re-purchase of units; Bonus units too not subject to “additional income tax” since issue of bonus units not akin to distribution of income.

To read the full circular, please visit the LINK.

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