Depositories Act,1996
Act No : 22
Section :
Register and index of beneficial owners.
"152A. Register and index of beneficial owners. The register and index of beneficial owners maintained by a depository under section 11 of the Depositories Act, 1996, shall be deemed to be an index of members and register and index of debenture holders, as the case may be, for the purposes of this Act.". 14. In Schedule 11, in Part 11, in clause C, after sub-clause (9), the following subclause shall be inserted, namely:- "9A. The details of opinion to subscribe for securities to be dealt with in a depository.". PART III AMENDMENTS TO THE SECURITIES CONTRACTS (REGULATION) ACT, 1956 (42 OF 1956) AMENDMENTS 1. In section 2, for clause (i), the following clause shall be substituted, namely:- '(i) "spot delivery contract" means a contract which provides for- (a) actual delivery of securities and the payment of a price therefor either on the same day as the date of the contract or on the next day, the actual periods taken for the dispatch of the securities or the remittance of money therefor through the post being excluded from the computation of the period aforesaid if the parties to the contract do not reside in the same town or locality; (b) transfer of the securities by the depository from the account of a beneficial owner to the account of another beneficial owner when such securities are dealt with by a depository;'. 2. Section 22A shall be omitted. 10 PART IV AMENDMENT TO THE INCOME-TAX ACT, 1961 (43 OF 196 1) AMENDMENT In section 45, after sub-section (2), the following sub-section shall be inserted, namely:- '(2A) Where any person has had at any time during previous year any beneficial interest in any securities, then, any profits or gains arising from transfer made by the depository or participant of such beneficial interest in respect of securities shall be chargeable to income-tax as the income of the beneficial owner of the previous year in which such transfer took place and shall not be regarded as income of the depository who is deemed to be the registered owner of securities by virtue of sub-section (1) of section 10 of the Depositories Act, 1996, and for the purposes of- (i) section 48; and (ii) proviso to clause (42A) of section 2, the cost of acquisition and the period of holding of any securities shall be determined on the basis of the first-in- first-out method. Explanation. -For the purposes of this subsection, the expressions "beneficial owner", "depository" and "security" shall have the meanings respectively assigned to them in clauses (a), (e) and (1) of sub-section (1) of section 2 of the Depositories Act, 1996.'. PART V AMENDMENT TO THE BENAMI TRANSACTIONS (PROHIBITION) ACT, 1988 (45 OF 1988) AMENDMENT In section 3, for sub-section (2), the following sub-section shall be substituted, namely:- (2) Nothing in sub-section (1) shall apply to- (a) the purchase of property by any person in the name of his wife or unmarried daughter and it shall be presumed, unless the contrary is proved, that the said property had been purchased for the benefit of the wife or the unmarried daughter; (b) the securities held by a- (i) depository as a registered owner under sub-section (1) of section 10 of the Depositories Act, 1996; (ii) participant as an agent of a depository. Explanation. -The expressions "depository" and "participant" shall have the meanings respectively assigned to them in clauses (e) and (g) of sub-section (1) of section 2 of the Depositories Act, 1996.'. PART VI AMENDMENTS TO THE SECURITIES AND EXCHANGE BOARD OF INDIA ACT, 1992 (15 OF 1992) AMENDMENTS 1. In section 2, in sub-section (2), for the words, brackets and figures "the Securities Contracts (Regulation) Act, 1956", the words, brackets and figures "the Securities Contracts (Regulation) Act, 1956 or the Depositories Act, 1996 "(42 of 1956). shall be substituted. 11 2. In section 11, in sub-section (2), in clause (ba), for the words "depositories, custodians", the words "depositories, participants, custodians" shall be substituted. 3. In section 12, in sub-section (1A), for the words "depository, custodian" , at both the places where they occur, the words "depository, participant, custodian" shall be substituted. 4. In section 16, in sub-section (1), for the words "this Act", the words and figures "this Act or the Depositories Act, 1996" shall be substituted. K.L. MOHANPURIA, Secy. to the Government of India.
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