Circular No 1 - Explanatory Notes to the Provisions of FA 08

Last updated: 01 April 2009

Notice Date : 27 March 2009

EXPLANATORY NOTES TO THE PROVISIONS OF THE FINANCE ACT, 2008

This circular explains the substance of the provisions of the Act relating to direct taxes

Changes made by the act are:-

(i) specified the rates of income-tax for the assessment year 2008-09 and the rates of income-tax on the basis of which tax has to be deducted at source and advance tax has to be paid during financial Year 2008-09;

(ii) amended sections 2, 10,10A, 10B, 35, 35D, 36, 40, 40A, 43, 44AB, 47, 49, 80C, 80D, 80IB, 80ID, 88E, 111A, 115AD, 115JB, 115O, 115WB, 115WC, 115WE, 139, 142, 143, 147, 151, 153, 153A, 153B, 153C, 153D,156, 191, 193, 194C, 195, 199, 201, 203, 206C, 251, 254, 271, 292C and 295 of the Income-tax Act, 1961;

(iii) inserted new sections 115WKB, 268A, 273AA, 278AB, 282A and 292BB in the Income-tax Act, 1961;

(iv) amended rule 3 of the Part A of the fourth Schedule to the Income-tax Act, 1961;

(v) amended section 17, 17A, 18, 23A and 42D of the Wealth-tax Act, 1957;

(vi) inserted new section 18BA, 35GA and 42 in the Wealth-tax Act, 1957;

(vii) inserted sections 102 to 121 in Chapter-VII of the Act;

(viii) amended section 98 and 99 of Finance (No.2) Act, 2004;

(ix) amended section 95(3) of the Finance Act, 2005. and many more

CBDT issued circular no 01/2009 regarding this

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