CHAPTER VII
INCOMES FORMING PART OF TOTAL
INCOME ON WHICH NO INCOME-TAX IS PAYABLE
81. to 85C. [Omitted
by the Finance (No. 2) Act, 1967, w.e.f. 1-4-1968. Provisions of sections 81,
82, 83, 84, 85, 85A, 85B and 85C were incorporated from the same date in
sections 80P, 80Q, 10(29), 80J (now omitted), 80K (now omitted), 80M
(now omitted), 80N (now omitted) and 80-O, respectively.]
86.Where
the assesses is a member of an association of persons or body of individuals
(other than a company or a co-operative society or a society registered under
the Societies Registration Act, 1860 (21 of 1860), or under any law
corresponding to that Act in force in any part of India), income-tax shall not
be payable by the assesses in respect of his share in the income of the
association or body computed in the manner provided in section 67A :
Provided that,—
(a) where
the association or body is chargeable to tax on its total income at the maximum
marginal rate or any higher rate under any of the provisions of this Act, the
share of a member computed as aforesaid shall not be included in his total
income;
(b) in any other case, the share of a member computed as
aforesaid shall form part of his total income :
Provided
further that where no
income-tax is chargeable on the total income of the association or body, the
share of a member computed as aforesaid shall be chargeable to tax as part of
his total income and nothing contained in this section shall apply to the
case.]
Deduction from tax
on certain securities.
86A. [Omitted by the Finance Act, 1988, w.e.f.
1-4-1989. Original
section was inserted by the Finance Act, 1965, w.e.f. 1-4-1965.]