Section 115BBDA:
Tax on certain dividends received from domestic companies.
1(1) Notwithstanding
anything contained in this Act, where the total income of 2
a specified assessee, resident in India,
includes any income in aggregate exceeding ten lakh rupees, by way of dividends declared, distributed or
paid by a domestic company or companies, the income-tax payable shall be the aggregate of—
(a) the amount of income-tax calculated on the income by way of such dividends in aggregate
exceeding ten lakh rupees, at the rate of ten per cent; and
(b) the amount of income-tax with which the assessee would have been chargeable had the total
income of the assessee been reduced by the amount of income by way of dividends.
(2) No deduction in respect of any expenditure or allowance or set off of loss shall be allowed to the
assessee under any provision of this Act in computing the income by way of dividends referred to in
clause (a) of sub-section (1).
(3) In this section, “dividends” shall have the same meaning as is given to “dividend” in clause (22)
of section 2 but shall not include sub-clause (e) thereof.
3
Explanation.—For the purposes of this section,—
(a) “dividend” shall have the meaning assigned to it in clause (22) of section 2 but shall not
include sub-clause (e) thereof;
(b) “specified assessee” means a person other than,—
(i) a domestic company; or
(ii) a fund or institution or trust or any university or other educational institution or any
hospital or other medical institution referred to in sub-clause (iv) or sub-clause (v) or
sub-clause (vi) or sub-clause (via) of clause (23C) of section 10; or
(iii) a trust or institution registered under section 12A or section 12AA.
Notes:
1. Ins. by Act 28 of 2016, s. 52 (w.e.f. 1-4-2017).
2. Subs. by Act 7 of 2017, s. 44, for “an assessee, being an individual, a Hindu Undivided Family or a
firm” (w.e.f. 1-4-2018).
3. Subs. by s. 44, ibid., for the Explanation (w.e.f. 1-4-2018).