Section 65 Income Tax Act 2025
Interpretation for purposes of section 64.
65. For the purposes of section 64,—
| (a) | | “amalgamation” means the merger of an amalgamating co-operative bank with an amalgamated co-operative bank, if— |
| (i) | | all the assets and liabilities of the amalgamating co-operative bank or banks immediately before the merger (other than the assets transferred, by sale or distribution on winding up, to the amalgamated co-operative bank) become the assets and liabilities of the amalgamated co-operative bank; |
| (ii) | | the members holding 75% or more voting rights in the amalgamating co-operative bank become members of the amalgamated co-operative bank; and |
| (iii) | | the shareholders holding 75% or more in value of the shares in the amalgamating co-operative bank (other than the shares held by the amalgamated co-operative bank or its nominee or its subsidiary, immediately before the merger) become shareholders of the amalgamated co-operative bank; |
| (b) | | “amalgamating co-operative bank” means— |
| (i) | | a co-operative bank which merges with another co-operative bank; or |
| (ii) | | every co-operative bank merging to form a new co-operative bank; |
| (c) | | “amalgamated co-operative bank” means— |
| (i) | | a co-operative bank with which one or more amalgamating co-operative banks merge; or |
| (ii) | | a co-operative bank formed as a result of merger of two or more amalgamating co-operative banks; |
| (d) | | “business reorganisation” means reorganisation of business involving the amalgamation or demerger of a co-operative bank or conversion of a primary co-operative bank; |
| (e) | | “conversion” means transition of a primary co-operative bank to a banking company under the scheme of the Reserve Bank of India as may be notified vide its circular number DCBR. CO. LS. PCB. Cir. No. 5/07.01.000/2018-19, dated 27th September, 2018; |
| (f) | | “converted banking company” means a banking company formed as a result of conversion from primary co-operative bank; |
| (g) | | “demerger” means the transfer by a demerged co-operative bank of one or more of its undertakings to any resulting co-operative bank, in such manner that— |
| (i) | | all the assets and liabilities of the undertaking or undertakings immediately before the transfer become the assets and liabilities of the resulting co-operative bank; |
| (ii) | | the assets and the liabilities are transferred to the resulting co-operative bank at values (other than change in the value of assets consequent to their revaluation) appearing in its books of account immediately before the transfer; |
| (iii) | | the resulting co-operative bank issues, in consideration of the transfer, its membership to the members of the demerged co-operative bank on a proportionate basis; |
| (iv) | | the shareholders holding 75% or more in value of the shares in the demerged co-operative bank (other than shares already held by the resulting bank or its nominee or its subsidiary immediately before the transfer), become shareholders of the resulting co-operative bank, otherwise than as a result of the acquisition of the assets of the demerged co-operative bank or any undertaking thereof by the resulting co-operative bank; |
| (v) | | the transfer of the undertaking is on a going concern basis; and |
| (vi) | | the transfer is as per the conditions specified by the Central Government, by notification, having regard to the necessity to ensure that the transfer is for genuine business purposes; |
| (h) | | “demerged co-operative bank” means the co-operative bank whose undertaking is transferred, pursuant to a demerger, to a resulting bank; |
| (i) | | “predecessor co-operative bank” means the amalgamating co-operative bank or the demerged co-operative bank, or the primary co-operative bank, which has been succeeded as a result of conversion; |
| (j) | | “primary co-operative bank” shall have the meaning assigned to it in clause (ccv) of section 56 of the Banking Regulation Act, 1949 (10 of 1949); |
| (k) | | “resulting co-operative bank” means— |
| (i) | | one or more co-operative banks to which the undertaking of the demerged co-operative bank is transferred in a demerger; or |
| (ii) | | any co-operative bank formed as a result of demerger; |
| (l) | | “successor co-operative bank” means the amalgamated co-operative bank or the resulting bank. |