Section 115C Income Tax Act 2025
Special provisions relating to certain incomes of non-residents
Definitions.
115C. In this Chapter, unless the context otherwise requires,-
| (a) | “convertible foreign exchange” means foreign exchange which is for the time being treated by the Reserve Bank of India as convertible foreign exchange for the purposes of [the Foreign Exchange Management Act, 1999 (42 of 1999)], and any rules made thereunder; |
| (b) | “foreign exchange asset” means any specified asset which the assessee has acquired or purchased with, or subscribed to in, convertible foreign exchange; |
| (c) | “investment income” means any income derived [***] from a foreign exchange asset; |
| (d) | “long-term capital gains” means income chargeable under the head “Capital gains” relating to a capital asset, being a foreign exchange asset which is not a short-term capital asset; |
| (e) | “non-resident Indian” means an individual, being a citizen of India or a person of Indian origin who is not a “resident”. |
| Explanation.-A person shall be deemed to be of Indian origin if he, or either of his parents or any of his grand-parents, was born in undivided India; |
| (f) | “specified asset” means any of the following assets, namely :- |
| (i) | shares in an Indian company; |
| (ii) | debentures issued by an Indian company which is not a private company as defined in the Companies Act, 1956 (1 of 1956); |
| (iii) | deposits with an Indian company which is not a private company as defined in the Companies Act, 1956 (1 of 1956); |
| (iv) | any security of the Central Government as defined in clause (2) of section 2 of the Public Debt Act, 1944 (18 of 1944); |
| (v) | such other assets as the Central Government may specify in this behalf by notification in the Official Gazette. |