S.1 Short Title and Commencement

       (1) This Act may be called the Finance Act, 1969.
       (2) Save as otherwise provided in this Act, sections 2 to 25 shall be deemed to have come into force on the 1st day of April, 1969.

S.2 Income-Tax

       (1) Subject to the provisions of sub-sections (2) and (3), for the assessment year commencing on the 1st day of April, 1969, income-tax shall be charged at the rates specified in Part I of the First Schedule and, in the cases to which Paragraphs A, B, C and D of that Part apply, shall be increased by a surcharge for purposes of the Union and in the cases to which Paragraph C applies, also by a special surcharge for purposes of the Union, calculated in each case in the manner provided therein.
       (2) In making any assessment for the assessment year commencing on the 1st day of April, 1969, where the total income of a company, other than the Life Insurance Corporation of India established under the Life Insurance Corporation Act, 1956 (31 of 1956), includes any profits and gains from life insurance business, the income-tax payable by it shall be the aggregate of the income-tax calculate

S.3 Amendment of Section 2

       In section 2 of the Income-tax Act, in clause (18) for sub-clause (b), the following sub-clause shall be substituted with effect from the 1st day of April, 1970, namely :-
       (b) if it is a company which is not a private company as defined in the Companies Act, 1956 (1 of 1956), and the conditions specified either in item (A) or in item (B) are fulfilled, namely :-
       (A) shares in the company (not being shares entitled to a fixed rate divided whether with or without a further right to participate in profits) were on the last day of the relevant previous year, listed in a recognised stock exchange in India in accordance with the Securities Contracts (Regulation) Act, 1956 (42 of 1956), and any rules made thereunder;
       (B)(i) shares in the company (not being shares entitled to a fixed rate dividend whe

S.4 Amendment of Section 16

       In section 16 of the Income-tax Act, in clause (iv), for item (1), the following item shall be substituted with effect from the 1st day of April, 1970, namely :-
       "(1) where the conveyance is a motor car and amount of the salary due to the assessee in respect of the previous year -
       (a) does not exceed Rs. 25,000 .............. Rs. 200;
       (b) exceeds Rs. 25,000 ........... Rs. 250;".

S.5 Amendment of Section 40A

       In section 40A of the Income-tax Act, after sub-section (3), the following sub-section shall be inserted, namely :-
       "(4) Notwithstanding anything contained in any other law for the time being in force or in any contract, where any payment in respect of any expenditure has to be made by a crossed cheque drawn on a bank or by a crossed bank draft in order that such expenditure may not be disallowed as a deduction under sub-section (3), then the payment may be made by such cheque or draft; and where the payment is so made or tendered, no person shall be allowed to raise, in any suit or other proceeding, a plea based on the ground that the payment was not made or tendered in cash or in any other manner.".

S.6 Amendment of Section 80C

       In section 80C of the Income-tax Act, -
       (a) in sub-section (2), -
       (i) in clause (a), for the words "on the life of the wife or husband of the assessee", wherever they occur, the words "on the life of the wife or husband or any child of the assessee" shall be substituted with effect from the 1st day of April, 1970;
       (ii) in clause (b), for the words "on the life of any male member of the family or of the wife of any such member", the words "on the life of any member of the family" shall be substituted with effect from the 1st day of April, 1970;
       (iii) in the Explanation at the end of clause (b), in clause (ii), the brackets and words "(being the assessee, or a male member of a Hindu undivided family where such family is the assessee)" shall be omitted

S.7 Amendment of Section 80J

       In section 80J of the Income-tax Act, -
       (a) in sub-section (4), in clause (iii), for the words "twenty-three years" the words "twenty-eight years" shall be substituted;
       (b) in sub-section (5), in clause (iii), for the words "twenty-three years" the words "twenty-eight years" shall be substituted.

S.8 Amendment of Section 80L

In section 80L of the Income-tax Act, in sub-section (1), for the words "five hundred rupees", wherever they occur, the word "one thousand rupees" shall be substituted with effect from the 1st day of April, 1970.

S.9 Insertion of New Section 80MM

       After section 80M of the Income-tax Act the following section shall be inserted with effect from the 1st day of April, 1970 namely :-
       80MM. Deduction in the case of an Indian company in respect of royalties, etc. received from any concern in India. - (1) Where the gross total income of an assessee being an Indian company includes any income by, way of royalty, commission fees or any other payment (not being income chargeable under the head "Capital gains") received by it from any person carrying on a business in India in consideration for -
       (i) the provision of technical know-how which is likely to assist in the manufacture or processing of goods or materials, or in the installation or erection of machinery or plant for such manufacture or processing, or in the working of a mine, oil well or other source of mineral deposits, or in the se

S.10 Amendment of Section 80P

       In section 80P of the Income-tax Act, -
       (a) in sub-section (2), in clause (c), for the words "fifteen thousand rupees", the words "twenty thousand rupees" shall be substituted with effect from the 1st day of April, 1970;
       (b) sub-section (4) shall be omitted with effect from the 1st day of April, 1970.

S.11 Insertion of New Section 80RR

       After section 80R of the Income-tax Act, the following section shall be inserted with effect from the 1st day of April, 1970, namely :-
       "80RR. Deduction in respect of professional income from foreign sources in certain cases. - Where the gross total income of an individual resident in India, being an author, playwright, artist, musician or actor, includes any income derived by him in the exercise of his profession from the Government of a foreign State or any person not resident in India, and such income is received in, or brought into, India by him or on his behalf in accordance with the Foreign Exchange Regulation Act, 1947 (7 of 1947), and any rules made thereunder, there shall be allowed a deduction from such income of an amount equal to twenty-five per cent. of the income so received or brought, in computing the total income of the individual.".

S.12 Substitution of New Section For Section 208

       For section 208 of the Income-tax Act, the following section shall be substituted, namely :-
       "208. Condition of liability to pay advance tax. - (1) Advance tax shall be payable during the financial year -
       (a) where the total income, exclusive of capital gains, of the assessee, referred to in sub-clause (i) of clause (a) of section 209, exceeds the amount specified in sub-section (2), or
       (b) where it is payable by virtue of the provisions of sub-section (3) of section 212.
       (2) The amount referred to in clause (a) of sub-section (1) shall be -
       (a) in the case of a company or a local authority Rs. 2,500;
       (b) in the case of a registered firm Rs. 30,000;
 &n

S.13 Amendment of Section 209

       In section 209 of the Income-tax Act, -
       (a) in clause (a), in sub-clause (iii), for the words "on any income, included in the said total income", the words and brackets "on any income (as computed before allowing any deductions admissible under this Act) on which tax is required to be deducted under the said sections and which has been taken into account in computing the said total income" shall be substituted;
       (b) in clause (c), after the word, brackets and figure "sub-section (3)", the words, brackets, figure and letter "or sub-section (3A)" shall be inserted.

S.14 Amendment of Section 210

In section 210 of the Income-tax Act, in sub-section (3), for the words, figures and letters "before the 15th day of February of the financial year", the words, brackets and figures "at any time before the date which is fifteen days prior to the date on which the last instalment of advance tax is payable by the assessee under sub-section (1) of section 211" shall be substituted.

S.15 Amendment of Section 211

       In section 211 of the Income-tax Act, -
       (a) for sub-section (1), the following sub-section shall be substituted, namely :-
       (1) Subject to the provisions of this section and of section 212, advance tax shall be payable in three equal instalments on the following dates during the financial year, namely :-
       (i) the 15th day of June, the 15th day of September and the 15th day of December, in the case of an assessee whose total income to the extent of 75 per cent. thereof or more is derived from a source or sources for which the previous year (relevant to the assessment year next following the financial year aforesaid ends on or before the 31st day of December;
       (ii) the 15th day of September, the 15th day of December and the 15th day of March, in any othe

S.16 Amendment of Section 212

       In section 212 of the Income-tax Act, -
       (a) for sub-section (1), the following sub-section shall be substituted, namely :-
       "(1) If any assessee who is required to pay advance tax by an order under section 210 estimates at any time before the last instalment of advance tax is due in his case that, by reason of his total income (exclusive of capital gains, if any) of the period which would be the previous year for the immediately following assessment year (such total income being, hereafter in this section, referred to as current income) being likely to be less than the income on which the advance tax payable by him under section 210 has been computed or for any other reason, the advance tax payable by him would be less than the amount which he is so required to pay, he may, at his option, send to the Income-tax Officer an estimate of -

S.17 Amendment of Section 213

In section 213 of the Income-tax Act, the word "quarterly" shall be omitted.

S.18 Amendment of Section 215

       In section 215 of the Income-tax Act, -
       (a) for sub-section (1), the following sub-section shall be substituted with effect from the 1st day of April, 1970, namely :-
       "(1) Where, in any financial year, an assessee has paid advance tax under section 212 on the basis of his own estimate, and the advance tax so paid is less than seventy-five per cent. of the assessed tax, simple interest at the rate of nine per cent. per annum from the 1st day of April next following the said financial year up to the date of the regular assessment shall be payable by the assessee upon the amount by which the advance tax so paid falls short of the assessed tax.";
       (b) in sub-section (2), in clause (ii), for the words "the said seventy-five per cent.", the words "the assessed tax" shall be substituted with effect fr

S.19 Amendment of Section 216

       In section 216 of the Income-tax Act, for clause (a), the following clause shall be substituted with effect from the first day of April, 1970, namely :-
       "(a) under sub-section (1) or sub-section (2) or sub-section (3) or sub-section (3A) of section 212 under-estimated the advance tax payable by him and thereby reduced the amount payable in either of the first two instalments; or".

S.20 Amendment of Section 217

       In section 217 of the Income-tax Act, for sub-section (1), the following sub-sections shall be substituted with effect from the 1st day of April, 1970, namely :-
       "(1) Where, on making the regular assessment, the Income-tax Officer finds that any such person as is referred to in sub-section (3) of section 212 has not sent the estimate referred to therein, simple interest at the rate of nine per cent. per annum from the 1st day of April next following the financial year in which the advance tax was payable in accordance with the said sub-section up to the date of the regular assessment shall be payable by the assessee upon the amount equal to the assessed tax as defined in sub-section (5) of section 215.
       (1A) Where, on making the regular assessment, the Income-tax Officer finds that any such person as is referred to in sub-section (3A) of

S.21 Amendment of Section 218

In section 218 of the Income-tax Act, in sub-section (2), after the word, brackets and figure "sub-section (3)", the words, brackets, figure and letter "or sub-section (3A)" shall be inserted.

S.22 Substitution of New Section For Section 273

       For section 273 of the Income-tax Act, the following section shall be substituted with effect from the 1st day of April, 1970, namely :-
       "273. False estimate of, or failure to pay, advance tax. -If the Income-tax Officer, in the course of any proceedings in connection with the regular assessment for the assessment year commencing on the 1st day of April, 1970, or any subsequent assessment year, is satisfied that any assessee -
       (a) has furnished under section 212 an estimate of the advance tax payable by him which he knew or had reason to believe to be untrue, or
       (b) has without reasonable cause failed to furnish an estimate of the advance tax payable by him in accordance with the provisions of sub-section (3) of section 212, or
       (c) has without reaso

S.23 Amendment of The Fifth Schedule

       In the Fifth Schedule to the Income-tax Act, after item (31), the following items shall be inserted with effect from the 1st day of April, 1970, namely :-
       "(32) Textiles (including those dyed, printed or otherwise processed) made wholly or mainly of cotton, including cotton yarn, hosiery and rope.
       (33) Textiles (including those dyed, printed or otherwise processed) made wholly or mainly of jute, including jute twine and jute rope.".

S.24 Amendment of Act 27 of 1957

       In the Wealth-tax Act, 1957 -
       (a) in section 2, for clause (e), the following clause shall be substituted, namely :-
       (e) "assets" includes property of every description, movable or immovable, but does not include, -
       (1) in relation to the assessment year commencing on the 1st day of April, 1969, or any earlier assessment year -
       (i) agricultural land and growing crops, grass or standing trees on such land;
       (ii) any building owned or occupied by a cultivator of, or receiver of rent or revenue out of, agricultural land :
       Provided that the building is on or in the immediate vicinity of the land and is a building which the cultivator or the receiver of rent or reven

S.25 Amendment of Act 7 of 1964

In the Companies (Profits) Surtax Act, 1964, in the Third Schedule, the proviso shall be omitted.

S.26 Amendment of Act 32 of 1934

       In the Indian Tariff Act, 1934 (hereinafter referred to as the Tariff Act), -
       (a) in section 2A, -
       (i) In the Explanation below sub-section (1), for the words, brackets, figure and letter "In this sub-section and sub-section (1A)", the words "In this section" shall be substituted;
       (ii) for sub-section (2), the following sub-section shall be substituted, namely :-
       "(2) If the Central Government is satisfied that it is necessary in the public interest to levy on any imported article [whether on such article duty is leviable under sub-section (1) or not], such additional duty as would counter balance the excise duty leviable on any raw materials, components and ingredient of the same nature as, or similar to those, used in the production or manufacture

S.27 Special Duties of Customs

       (1) In the case of goods chargeable with a duty of customs which is specified in the First Schedule to the Tariff Act, or in that Schedule as amended by a subsequent Central Act, if any, or in that Schedule read with any notification of the Central Government for the time being in forced there shall be levied and collected as an addition to, and in the same manner as the total amount so chargeable, a special duty of customs equal to 10 per cent. of such amount :
       Provided that in computing the total amount so chargeable, any duty chargeable under section 2A of the Tariff Act or section 28 of this Act shall not be included.
       (2) Sub-section (1) shall cease to have effect after the 31st day of March, 1970 except as respects things done or omitted to be done before such cesser; and section 6 of the General Clauses Act, 1897 (10 of 1897), shal

S.28 Regulatory Duties of Customs

       (1) With a view to regulating or bringing greater economy in imports, there shall be levied and collected, with effect from such date, and at such rate, as may be specified in this behalf by the Central Government by notification in the Official Gazette, on all or any of the goods mentioned in the First Schedule to the Tariff Act or in that Schedule as amended by a subsequent Central Act, if any, a regulatory duty of customs not exceeding -
       (a) 25 per cent. of the rate, if any, specified in the said First Schedule read with any notification issued under section 3A, or sub-section (1) of section 4, of the Tariff Act; or
       (b) 10 per cent. of the value of the goods as determined in accordance with the provisions of section 14 of the Customs Act, 1962 (52 of 1962),
       whichever is higher :
 &n

S.29 Amendment of Act 1 of 1949

In the Indian Tariff (Amendment) Act, 1949, in sections 4 and 5, for the figures "1969", the figures "1970" shall be substituted.

S.30 Amendment of act 1 of 1944

       In the Central Excises and Salt Act, 1944 (hereinafter referred to as the Central Excises Act), in the First Schedule, -
       (i) in Item No. 1, for the entries in the third column against sub-items (1) and (2), the entries "Nineteen per cent. ad valorem." and "Ten per cent. ad valorem." shall, respectively, be substituted;
       (ii) in Item No. 1A, in the entry in the second column against sub-item (2), after the word "Chocolates", the words "in bulk or" shall be inserted;
       (iii) after Item No. 1A, the following Item shall be inserted, namely :-
       "1B. PREPARED OR PRESERVED FOODS PUT. UP IN UNIT CONTAINERS AND ORDINARILY INTENDED FOR SALE, INCLUDING PREPARATIONS OF VEGETABLES, FRUIT, MILK, CEREALS, FLOUR, STARCH, BIRDS EGGS, MEAT, MEAT OFFALS, ANIMAL BLOOD, FIS

S.31 Special duties of excise on certain goods

       (1) When goods of the description mentioned in this section chargeable with a duty of excise under the Central Excises Act (as amended by this Act or any subsequent Central Act) read with any notification for the time being in force issued by the Central Government in relation to the duty so chargeable, are assessed to duty, there shall be levied and collected -
       (a) as respects goods comprised in Items Nos. 6, 8, 9, 14D, 22A, 23A except sub-item (1) thereof, 23B, 28, 29, sub-items (2) and (3) of Item No. 31 and Item No. 32 of the First Schedule to the Central Excises Act, a special duty of excise equal to 10 per cent. of the total amount so chargeable on such goods;
       (b) as respects goods comprised in Items Nos. 2, 3(1), sub-items I, II(2) and II(3) of Item No. 4, Items Nos. 13, 14, 14F, 15, 15A, 15B, 16, 16A, 17, 18A(2), 21, 22, 23, 23A(

S.32 Regulatory Duties of Excise

       (1) With a view to regulating or bringing greater economy in consumption, there shall be levied and collected with effect from such date and at such rate as may be specified in this behalf by the Central Government by notification in the Official Gazette, on all or any of the good mentioned in the First Schedule to the Central Excises Act as amended by this Act or any subsequent Central Act, a regulatory duty of excise which shall not exceed 15 per cent. of the value of the goods as determined in accordance with the provisions of section 4 of the Central Excises Act :
       Provided that different dates and different rates may be specified by the Central Government for different kinds of goods.
       (2) Sub-section (1) shall cease to have effect after the 15th day of May, 1970 except as respects things done or omitted to be done before such cesser;

S.33 Amendment of Act 58 of 1957

       In the First Schedule to the Additional Duties of Excise (Goods of Special Importance) Act, 1957, -
       (i) in Item No. 1, for the entry in the third column, the entry "Four per cent. ad valorem" shall be substituted;
       (ii) for Item No. 19, the following Item shall be substituted, namely :-
       "19 COTTON FABRICS -
       I. Cotton fabrics other than -
       (i) embroidery, in the piece, in strips or in motifs, and
       (ii) fabrics impregnated or coated with preparations of cellulose derivatives or of other artificial plastic materials, -
       (1) Coating, suiting, tussors, corduroy, gaberdine, bed-ford, satin, denim,. lappet, lace, knitted fabric

S.34 Discontinuance of Salt Duty

       For the year beginning on the 1st day of April, 1969, no duty under the Central Excises Act, or the Tariff Act shall be levied in respect of salt manufactured in, or imported into, India.

Sch.1 FIRST SCHEDULE

       The First Schedule
       (See section 2)
       Part I
       Income-Tax and Surcharges on Income-Tax
       Paragraph A
       In the case of every individual or Hindu undivided family or unregistered firm or other association of persons or body of individuals, whether incorporated or not, or every artificial juridical person referred to in sub-clause (vii) of clause (31) of section 2 of the Income-tax Act, not being a case to which any other Paragraph of this Part applies, -
       Rates of Income-Tax
       (1) where the total income does not exceed Rs. 5,000 5 per cent. of the total income;
       (2) where the total incom

Sch.2 SECOND SCHEDULE

       The Second Schedule
       (See section 26)
       Part I
       In the First Schedule to the Tariff Act, -
       (i) in Item No. 75(11)(v), in the entry in the second column, the words "roller bearings" shall be omitted;
       (ii) in Item No. 87A, for the entries (ii), (iii) and (iv) in the second column the following entry shall be substituted, namely :-
       "(ii) alcoholic drinks.".
       Part II
       Item No. Name of article Nature of duty Standard rate of duty Preferential rate of duty if the article is the produce or manufacutre of Duration of protective rates of duty
      &nbs