India - Income Tax Act 2010 - Saarc

1.91 CH. III - INCOMES WHICH DO NOT FORM PART OF TOTAL INCOME S. 10(23FB)Laboratory or any other scientific research institutionapproved by the Department of Science and Technology;]24[(23FB) any income of a venture capital company or venture capital fund25[from investment] in a venture capital undertaking.Explanation 26 [1].—For the purposes of this clause,—(a) “venture capital company” means such company—(i) which has been granted a certificate of registrationunder the Securities and Exchange Board of India Act,1992 (15 of 1992), and regulations made thereunder;(ii) which fulfils the conditions as may be specified, with theapproval of the Central Government, by the Securitiesand Exchange Board of India, by notification in theOfficial Gazette, in this behalf;(b) “venture capital fund” means such fund—27[(i) operating under a trust deed registered under theprovisions of the Registration Act, 1908 (16 of 1908) oroperating as a venture capital scheme made by the UnitTrust of India established under the Unit Trust of IndiaAct, 1963 (52 of 1963);](ii) which has been granted a certificate of registrationunder the Securities and Exchange Board of India Act,1992 (15 of 1992), and regulations made thereunder;(iii) which fulfils the conditions as may be specified, with theapproval of the Central Government, by the Securitiesand Exchange Board of India, by notification in theOfficial Gazette, in this behalf; and28[(c) “venture capital undertaking” means such domestic companywhose shares are not listed in a recognised stockexchange in India and which is engaged in the—24. Inserted by the Finance Act, 2000, w.e.f. 1-4-2001.25. Substituted for “set up to raise funds for investment” by the Finance Act, 2007, w.e.f.1-4-2008.26. Explanation numbered as Explanation 1 by the Finance Act, 2001, w.e.f. 1-4-2001.27. Substituted, ibid. Prior to its substitution, sub-clause (i) read as under :“(i) operating under a trust deed registered under the provisions of the RegistrationAct, 1908 (16 of 1908);”28. Substituted by the Finance Act, 2007, w.e.f. 1-4-2008. Prior to its substitution, clause (c) ofExplanation 1, as substituted by the Finance (No. 2) Act, 2004, w.e.f. 1-10-2004, read asunder:‘(c) “venture capital undertaking” means a venture capital undertaking referred to inthe Securities and Exchange Board of India (Venture Capital Funds) Regulations,1996 made under the Securities and Exchange Board of India Act, 1992 (15 of 1992)and notified as such in the Official Gazette by the Board for the purposes of thisclause;’