clarification of sec 94(7)

First please clarify Section 94(7) of which Act???

94(7) of income tax act

Sec 94(7) is for dividend striping (any Loss arising on a share/ unit/ security will be disallowed if the said Share is held for less than 3 Month before date of Div OR less than 3 Month After date of Div. The Period for MF Units & SEcurities is 9 Month & not 3 Month

Sir, does the section mean that if one buys a scrip within three months before declaration of dividend and sells them within a period of three months from the date of dividend declaration, the loss incurred thereon is disallowed?? Whats the logic of the above ??? It also says about "record date" , how would one come to know about that??? If you could please answer.... Thanks.

logic behaind the disallowance of loss is that the actual loss one occured is total loss less dividend received. record date can be find from the ecs advise recd. of the particular div. or from the web site nseindia.com putting the name of the scriptt & see the corporate action option for dividend declated.