India - Income Tax Act 2010 - Saarc

S. 10(2A) I.T. ACT, 1961 1.40deration) for the rendering of any managerial, technical or consultancyservices (including the provision of services of technical or otherpersonnel) but does not include consideration for any construction 87 ,assembly, mining or like project undertaken by the recipient orconsideration which would be income of the recipient chargeableunder the head “Salaries”.](2) Notwithstanding anything contained in sub-section (1), any pension payableoutside India to a person residing permanently outside India shall not be deemedto accrue or arise in India, if the pension is payable to a person referred to inarticle 314 of the Constitution or to a person who, having been appointed beforethe 15th day of August, 1947, to be a Judge of the Federal Court or of a High Courtwithin the meaning of the Government of India Act, 1935, continues to serve onor after the commencement of the Constitution as a Judge in India.88[Explanation.—For the removal of doubts, it is hereby declared that for thepurposes of this section, income of a non-resident shall be deemed to accrue orarise in India under clause (v) or clause (vi) or clause (vii) of sub-section (1) andshall be included in the total income of the non-resident, whether or not,—(i) the non-resident has a residence or place of business or businessconnection in India; or(ii) the non-resident has rendered services in India.]CHAPTER IIIINCOMES WHICH DO NOT FORM PART OF TOTAL INCOMEIncomes not included in total income.10. In computing the total income of a previous year of any person, any incomefalling within any of the following clauses shall not be included—(1) agricultural income ;89(2) 90 [subject to the provisions of sub-section (2) of section 64,] any sumreceived by an individual as a member of a Hindu undivided family,where such sum has been paid out of the income of the family, or, inthe case of any impartible estate, where such sum has been paid outof the income of the estate belonging to the family ;91[(2A) in the case of a person being a partner of a firm which is separatelyassessed as such, his share in the total income of the firm.87. For the meaning of the term “construction”, see Taxmann’s Direct Taxes Manual, Vol. 3.88. Substituted by the Finance Act, 2010, w.r.e.f. 1-6-1976. Prior to its substitution, Explanationas inserted by the Finance Act, 2007, w.r.e.f. 1-6-1976, read as under :“Explanation.—For the removal of doubts, it is hereby declared that for the purposes ofthis section, where income is deemed to accrue or arise in India under clauses (v), (vi) and(vii) of sub-section (1), such income shall be included in the total income of the nonresident,whether or not the non-resident has a residence or place of business or businessconnection in India.”89. For relevant case laws, see Taxmann’s Master Guide to Income-tax Act.90. Inserted by the Taxation Laws (Amendment) Act, 1970, w.e.f. 1-4-1971.91. Inserted by the Finance Act, 1992, w.e.f. 1-4-1993. Earlier, clause (2A) was inserted by theDirect Tax Laws (Amendment) Act, 1987, w.e.f. 1-4-1989 and was omitted by the Direct TaxLaws (Amendment) Act, 1989, with effect from the same date.