Rule 331 — Procedure for approval under Paragraph (1)(z)(i) and (ii) of Schedule XV to the Act
Parent Act Section(s): Section 515
Full Text
- Procedure for approval under Paragraph (1)(z)(i) and (ii) of Schedule XV to the Act.– (1) The Central Board of Direct Taxes, before granting approval to a public company under paragraph 1(z)(i) of Schedule XV to the Act or to a Mutual Fund under paragraph 1(z)(ii), of the said Schedule shall satisfy itself that for the entity mentioned in column B in the following Table, the application is made in the Form specified in column C with documents as mentioned in column D attached alongwith, and the application is filed within the time limit prescribed in column E thereof: Table SI.No Entity Application Documents to be attached with the Time limit for filing Form application application A B C D E
- Public Form No. 189 (a) Copy of certificate of incorporation Three months before ―the company under the Companies Act, 2013 (18 eligible issue of capital,‖ of 2013); and as referred to in paragraph (b) audited balance sheet, and profit 6(i) of Schedule XV to the and loss account, for three tax years Act.
immediately preceding the tax year in which the application is made, or for the period of its existence, whichever is lesser. 2. Mutual Form No. 190. (a) Copy of certificate of registration Three months before the fund issued by the Securities and public issue. Exchange Board of India; and (b) audited balance sheet, and profit and loss account, for three tax years immediately preceding the tax year in which the application is made, or for the period of its existence, whichever is lesser. (2) The Board shall pass an order approving or denying the application, but any decision denying approval shall not be made without providing the applicant a reasonable opportunity of being heard. (3) Every applicant shall invest all its total paid-up capital, raised through equity issue or debentures, in the following manner:– (a) at least 25% of the capital raised shall be invested– (i) in the infrastructure facility, in the case of a public company, and (ii) in the eligible issue of capital of any company referred to in paragraph (6)(i), of Schedule XV to the Act in the case of a Mutual Fund; (b) such investment shall be made before the end of one year from the date of approval of the Board; and (c) the rest of the capital shall be invested in like manner within three years from the date of approval. (4) Every applicant shall submit a certificate from an accountant, as defined in section 515(3)(b), specifying the amount invested in each tax year, from the date of approval of the Board. (5) The Board shall have the power to withdraw the approval granted under sub-rule (2), if such applicant– (a) fails to make investments as per conditions mentioned in sub-rule (3); or (b) fails to file the certificate referred to in sub-rule (4).
Cross-References
Act Sections Referenced
Related Rules
- None
Practical Notes
[To be populated — interpretive notes, circular references, case law pointers]