BareLaws
SECTION

Section 94A — Special measures in respect of transactions with persons located in notified jur isdictional

From: The Income-tax Act, 1961

94A. Special measures in respect of transactions with persons located in notified jur isdictional area.

(1)The Central Government may, having regard to the lack of effective exchange of information with any country or territory outside India, specify by notification in the Official Gazette such country or territory as a notified jurisdictional area in relation to transactions entered into by any assessee.
(2)Notwithstanding anything to the contrary contained in this Act, if an assessee enters into a transaction where one of the parties to the transaction is a person located in a notified jurisdictional area, then-
(i)all the parties to the transaction shall be deemed to be associated enterprises within the meaning of section 92A ;
(ii)any transaction in the nature of purchase, sale or lease of tangible or intangible property o r provision of service or lending or borrowing money or any other transaction having a bearing on the profits, income, losses or assets of the assessee including a mutual agreement or arrangement for allocation or apportionment of, or any contribution to, any cost or expense incurred or to be incurred in connection with a benefit, service or facility provided or to be provided by or to the assessee shall be deemed to be an international transaction within the meaning of section 92B , and the provisions of sections 92, 92A, 92B, 92C except the second proviso to sub -section
(2), 92CA ,92CB, 92CD , 92E and 92F shall apply accordingly.