Applicant:
Section 23A(c) defines applicant to mean:
“applicant” means—
(i) (a) a non-resident setting up a joint venture in India in collaboration with a non-resident or a resident; or
(b) a resident setting up a joint venture in India in collaboration with a non-resident; or
(c) a wholly owned subsidiary Indian company, of which the holding company is a foreign company,
who or which, as the case may be, proposes to undertake any business activity in India;
(ii) a joint venture in India; or
(iii) a resident falling within any such class or category of persons, as the Central Government may, by notification in the Official Gazette, specify in this behalf,
and which or who, as the case may be, makes application for advance ruling under sub-section(1) of section 23C.
The Central Government has notified public sector companies, resident public limited companies, resident private limited companies and resident firm as the class or category of resident persons who can apply for advance ruling.
| Public sector company: A public sector company shall have the same meaning as is assigned to it in section 2(36A) of the Income Tax Act, 1961.
Public limited company: Public limited company shall have the same meaning as is assigned to “public company” in section 3(1)(iv) of the Companies Act, 19561 and shall include a private company that becomes a public company by virtue of section 43A of the said Act. As per section 3(1)(iv) of the Companies Act, 1956, public limited company means a company which – (a) is not a private company ; (b) has a minimum paid-up capital of ` 5 lakh or such higher paid-up capital, as may be prescribed ; (c) is a private company which is a subsidiary of a company which is not a private company and shall include a private company that becomes a public company by virtue of section 43A of the Companies Act, 1956. Resident: Resident shall have the same meaning as is assigned to it in section 2(42) of the Income-tax Act, 1961 in so far as it applies to a company. Private limited company: Private limited company shall have the same meaning as is assigned to “private company” in section 2(68) of the Companies Act, 2013. As per section 2(68) of Companies Act, 2013, private company means a company having a minimum paid-up share capital of ` 1,00,000 or such higher paid-up share capital as may be prescribed, and which by its articles,- (i) restricts the right to transfer its shares; (ii) except in case of One Person Company, limits the number of its members to 200: Provided that where two or more persons hold one or more shares in a company jointly, they shall, for the purposes of this clause, be treated as a single member. Provided further that- (A) persons who are in the employment of the company; and (B) persons who, having been formerly in the employment of the company, were members of the company while in that employment and have continued to be members after the employment ceased, shall not be included in the number of members; and (iii) prohibits any invitation to the public to subscribe for any securities of the company. Joint venture in India: “Joint venture in India” means a contractual arrangement whereby two or more persons undertake an economic activity which is subject to joint control and one or more of the participants or partners or an equity holder is a non-resident having substantial interest in such arrangement. Thus, in case of joint venture an application for advance ruling can be made only when one of the partners is non-resident. Non-resident, Indian Company and Foreign Company: “Non-resident”, “Indian Company” and “Foreign Company” shall have the meaning as in sections 2(30), 2(26) and 2(23A) of the Income-tax Act, 1961 respectively [Section 23A(f)]. The collaboration would mean either technical or financial collaboration. Firm shall have the meaning assigned to it in section 4 of the Indian Partnership Act, 1932 and includes- (i) the limited liability partnership as defined in section 2(1)(n) of the Limited Liability Partnership Act, 2008; or (ii) limited liability partnership which has no company as its partner; or (iii) the sole proprietorship; or (iv) one Person Company. Sole proprietorship means an individual who engages himself in an activity as defined in section 23A(a) of the Central Excise Act, 1944. One Person Company means as defined in section 2(62) of the Companies Act, 2013. Resident: shall have the meaning assigned to it in section 2(42) of the Income-tax Act, 1961 in so far as it applies to a resident firm. |