1. [Section 115-TA] : Tax on Distributed Income to Investors by an Securitisation Trust
Any distributed income to an investor by a securitisation trust shall be liable to the levy of additional income-tax at the rate of twenty-five per cent. on the distributed income if such income is paid to a person being an individual or Hindu undivided family. The additional income-tax shall be levied at the rate of thirty per cent., if such distributed income is paid to a person other than individual and Hindu undivided family. No additional income-tax shall be levied, if the distributed income is paid to any person who is exempt under the Act. It also provides that the amount of tax shall be remitted within fourteen days of the date of payment or distribution of income. It is provided that no deduction under any provisions of the Act shall be allowed to securitisation trust in respect of the said income. [The section provides that the securitisation trust shall, before the 15th day of September in each year, furnish a statement in the prescribed form providing the details regarding the amount of income distributed to the investors and the tax paid in the previous year.]
2. Statement under of Section 115TA(3)
Vide Not. No. Notification No. S.Q.266(E), Dated 4.9.2013—(1) The statement of income distributed by the securitisation trust shall be furnished as provided in sub-rule(2) to—
- The Assessing Officer so designated by the Chief Commissioner or Commissioner of Income-tax, within whose area of jurisdiction, the principal office of the securitisation trust is situated;
- in any other case, to the Assessing Officer within whose area of Jurisdication, the principal office of the securitisation trust is situated.
(2) The statement of distributed income which is to be furnished under sub-section (3) of section 11 5TA by the securitisation trust shall be in Form No. 63AA, duly verified by an accountant in the manner indicated therein.;
3. Interest payable for non-payment of tax [Section 115TB]
The levy of interest, in case of failure to pay tax within the time provided, at the rate of one per cent. for every month and part thereof on such failure.
4. Securitisation trust to be assessee in default [Section 115TC]
In case of failure on payment of tax, the person responsible for making payment of income distributed by the securitisation trust and the securitisation trust shall be deemed to be an assessee in default in respect of the amount of tax payable and all provisions of the Act relating to recovery and collection of taxes shall apply.