The Central Board of
Direct Taxes (CBDT) vide a notification dated 13th March 2020 has given
explanations to, circular IMD/HO/FPIC/CIR/P/2017/003 dated 04th January,
2017 hereby a nonresident being an
Eligible Foreign Investor which operates in accordance with the SEBI deemed as
Foreign Institutional Investor (FII). Some examples of FII are-sovereign wealth
fund, pension fund, foreign mutual fund, insurance firm or representative agent
of these entities who is registered to invest in a foreign country. As per this
Notification, with regard to FII:
- International Financial Services Center shall have the same meaning as assigned to it in clause (q) of section 2 of the Special Economic Zones Act, 2005 that means International Financial Services Center which has been approved by the Central Government.
- Recognized stock exchange shall have the same meaning as assigned to it in clause (ii) of Explanation 1 to clause (5) of section 43 of the Income-tax Act, 1961; that means the stock exchange which is for the time being recognized by the Central Government.
- The expression “securities” shall have the same meaning as assigned to it in clause (h) of section 2 of the Securities Contracts (Regulation) Act, 1956.
No comments:
Post a Comment