Section 2 Definitions
- Chapter
- I · Preliminary
- Amendments
- 1
(1) In this Act, unless the context otherwise requires,—
(a) "associationDefined in section 2(a): association means an association of individuals, whether incorporated or not, having an office in India and includes a society, whether registered under the Societies Registration Act, 1860 (21 of 1860), or not, and any other organisation, by whatever name called" means an associationDefined in section 2(a): association means an association of individuals, whether incorporated or not, having an office in India and includes a society, whether registered under the Societies Registration Act, 1860 (21 of 1860), or not, and any other organisation, by whatever name called of individuals, whether incorporated or not, having an office in India and includes a society, whether registered under the Societies Registration Act, 1860 (21 of 1860), or not, and any other organisation, by whatever name called;
(b) "authorised person in foreign exchangeDefined in section 2(b): authorised person in foreign exchange means an authorised person referred to in clause (c) of section 2 of the Foreign Exchange Management Act, 1999 (42 of 1999)" means an authorised personDefined in section 2(m): person includes— (i) an individual; (ii) a Hindu undivided family; (iii) an association; (iv) a company registered under section 25 of the Companies Act, 1956 (1 of 1956) referred to in clause (c) of section 2 of the Foreign Exchange Management Act, 1999 (42 of 1999);
(c) "bankDefined in section 2(c): bank means a banking company as referred to in clause (c) of section 5 of the Banking Regulation Act, 1949 (10 of 1949)" means a banking companyDefined in section 2(f): company shall have the meaning assigned to it under clause (17) of section 2 of the Income tax Act, 1961 (43 of 1961) as referred to in clause (c) of section 5 of the Banking Regulation Act, 1949 (10 of 1949);
(d) "candidate for electionDefined in section 2(d): candidate for election means a person who has been duly nominated as a candidate for election to any Legislature" means a personDefined in section 2(m): person includes— (i) an individual; (ii) a Hindu undivided family; (iii) an association; (iv) a company registered under section 25 of the Companies Act, 1956 (1 of 1956) who has been duly nominated as a candidate for electionDefined in section 2(d): candidate for election means a person who has been duly nominated as a candidate for election to any Legislature to any LegislatureDefined in section 2(k): Legislature means— (A) either House of Parliament; (B) the Legislative Assembly of a State, or in the case of a State having a Legislative Council, either House of the Legislature of that State; (C) Legislative Assembly of a Union territory constituted under the Government of Union Territories Act, 1963 (20 of 196...;
(e) "certificateDefined in section 2(e): certificate means certificate of registration granted under sub section (3) of section 12" means certificateDefined in section 2(e): certificate means certificate of registration granted under sub section (3) of section 12 of registration granted under sub-section (3) of section 12;
(f) "companyDefined in section 2(f): company shall have the meaning assigned to it under clause (17) of section 2 of the Income tax Act, 1961 (43 of 1961)" shall have the meaning assigned to it under clause (17) of section 2 of the Income-tax Act, 1961 (43 of 1961);
(g) "foreign companyDefined in section 2(g): foreign company means any company or association or body of individuals incorporated outside India and includes— (i) a foreign company within the meaning of section 591 of the Companies Act, 1956 (1 of 1956); (ii) a company which is a subsidiary of a foreign company; (iii) the registered office or principal place ..." means any companyDefined in section 2(f): company shall have the meaning assigned to it under clause (17) of section 2 of the Income tax Act, 1961 (43 of 1961) or associationDefined in section 2(a): association means an association of individuals, whether incorporated or not, having an office in India and includes a society, whether registered under the Societies Registration Act, 1860 (21 of 1860), or not, and any other organisation, by whatever name called or body of individuals incorporated outside India and includes—
(i) a foreign companyDefined in section 2(g): foreign company means any company or association or body of individuals incorporated outside India and includes— (i) a foreign company within the meaning of section 591 of the Companies Act, 1956 (1 of 1956); (ii) a company which is a subsidiary of a foreign company; (iii) the registered office or principal place ... within the meaning of section 591 of the Companies Act, 1956 (1 of 1956);
(ii) a companyDefined in section 2(f): company shall have the meaning assigned to it under clause (17) of section 2 of the Income tax Act, 1961 (43 of 1961) which is a subsidiaryDefined in section 2(t): subsidiary and associate shall have the meanings, respectively assigned to them in the Companies Act, 1956 (1 of 1956) of a foreign companyDefined in section 2(g): foreign company means any company or association or body of individuals incorporated outside India and includes— (i) a foreign company within the meaning of section 591 of the Companies Act, 1956 (1 of 1956); (ii) a company which is a subsidiary of a foreign company; (iii) the registered office or principal place ...;
(iii) the registered office or principal place of business of a foreign companyDefined in section 2(g): foreign company means any company or association or body of individuals incorporated outside India and includes— (i) a foreign company within the meaning of section 591 of the Companies Act, 1956 (1 of 1956); (ii) a company which is a subsidiary of a foreign company; (iii) the registered office or principal place ... referred to in sub-clause (i) or companyDefined in section 2(f): company shall have the meaning assigned to it under clause (17) of section 2 of the Income tax Act, 1961 (43 of 1961) referred to in sub-clause (ii);
(iv) a multi-national corporation.
Explanation.—For the purposes of this sub-clause, a corporation incorporated in a foreign country or territory shall be deemed to be a multi-national corporation if such corporation,—
(a) has a subsidiaryDefined in section 2(t): subsidiary and associate shall have the meanings, respectively assigned to them in the Companies Act, 1956 (1 of 1956) or a branch or a place of business in two or more countries or territories; or
(b) carries on business, or otherwise operates, in two or more countries or territories;
(h) "foreign contributionDefined in section 2(h): foreign contribution means the donation, delivery or transfer made by any foreign source,— (i) of any article, not being an article given to a person as a gift for his personal use, if the market value, in India, of such article, on the date of such gift, is not more than such sum as may be specified from time to ..." means the donation, delivery or transfer made by any foreign sourceDefined in section 2(j): foreign source includes,— (i) the Government of any foreign country or territory and any agency of such Government; (ii) any international agency, not being the United Nations or any of its specialised agencies, the World Bank, International Monetary Fund or such other agency as the Central Government may, by noti...,—
(i) of any article, not being an article given to a personDefined in section 2(m): person includes— (i) an individual; (ii) a Hindu undivided family; (iii) an association; (iv) a company registered under section 25 of the Companies Act, 1956 (1 of 1956) as a gift for his personal use, if the market value, in India, of such article, on the date of such gift, is not more than such sum as may be specified from time to time, by the Central Government by the rules made by it in this behalf;
(ii) of any currency, whether Indian or foreign;
(iii) of any security as defined in clause (h) of section 2 of the Securities Contracts (Regulation) Act, 1956 (42 of 1956) and includes any foreign security as defined in clause (o) of section 2 of the Foreign Exchange Management Act, 1999 (42 of 1999).
Explanation 1.—A donation, delivery or transfer of any article, currency or foreign security referred to in this clause by any personDefined in section 2(m): person includes— (i) an individual; (ii) a Hindu undivided family; (iii) an association; (iv) a company registered under section 25 of the Companies Act, 1956 (1 of 1956) who has received it from any foreign sourceDefined in section 2(j): foreign source includes,— (i) the Government of any foreign country or territory and any agency of such Government; (ii) any international agency, not being the United Nations or any of its specialised agencies, the World Bank, International Monetary Fund or such other agency as the Central Government may, by noti..., either directly or through one or more persons, shall also be deemed to be foreign contributionDefined in section 2(h): foreign contribution means the donation, delivery or transfer made by any foreign source,— (i) of any article, not being an article given to a person as a gift for his personal use, if the market value, in India, of such article, on the date of such gift, is not more than such sum as may be specified from time to ... within the meaning of this clause.
Explanation 2.—The interest accrued on the foreign contributionDefined in section 2(h): foreign contribution means the donation, delivery or transfer made by any foreign source,— (i) of any article, not being an article given to a person as a gift for his personal use, if the market value, in India, of such article, on the date of such gift, is not more than such sum as may be specified from time to ... deposited in any bankDefined in section 2(c): bank means a banking company as referred to in clause (c) of section 5 of the Banking Regulation Act, 1949 (10 of 1949) referred to in sub-section (1) of section 17 or any other income derived from the foreign contributionDefined in section 2(h): foreign contribution means the donation, delivery or transfer made by any foreign source,— (i) of any article, not being an article given to a person as a gift for his personal use, if the market value, in India, of such article, on the date of such gift, is not more than such sum as may be specified from time to ... or interest thereon shall also be deemed to be foreign contributionDefined in section 2(h): foreign contribution means the donation, delivery or transfer made by any foreign source,— (i) of any article, not being an article given to a person as a gift for his personal use, if the market value, in India, of such article, on the date of such gift, is not more than such sum as may be specified from time to ... within the meaning of this clause.
Explanation 3.—Any amount received, by any personDefined in section 2(m): person includes— (i) an individual; (ii) a Hindu undivided family; (iii) an association; (iv) a company registered under section 25 of the Companies Act, 1956 (1 of 1956) from any foreign sourceDefined in section 2(j): foreign source includes,— (i) the Government of any foreign country or territory and any agency of such Government; (ii) any international agency, not being the United Nations or any of its specialised agencies, the World Bank, International Monetary Fund or such other agency as the Central Government may, by noti... in India, by way of fee (including fees charged by an educational institution in India from foreign student) or towards cost in lieu of goods or services rendered by such personDefined in section 2(m): person includes— (i) an individual; (ii) a Hindu undivided family; (iii) an association; (iv) a company registered under section 25 of the Companies Act, 1956 (1 of 1956) in the ordinary course of his business, trade or commerce whether within India or outside India or any contribution received from an agent of a foreign sourceDefined in section 2(j): foreign source includes,— (i) the Government of any foreign country or territory and any agency of such Government; (ii) any international agency, not being the United Nations or any of its specialised agencies, the World Bank, International Monetary Fund or such other agency as the Central Government may, by noti... towards such fee or cost shall be excluded from the definition of foreign contributionDefined in section 2(h): foreign contribution means the donation, delivery or transfer made by any foreign source,— (i) of any article, not being an article given to a person as a gift for his personal use, if the market value, in India, of such article, on the date of such gift, is not more than such sum as may be specified from time to ... within the meaning of this clause;
(i) "foreign hospitalityDefined in section 2(i): foreign hospitality means any offer, not being a purely casual one, made in cash or kind by a foreign source for providing a person with the costs of travel to any foreign country or territory or with free boarding, lodging, transport or medical treatment" means any offer, not being a purely casual one, made in cash or kind by a foreign sourceDefined in section 2(j): foreign source includes,— (i) the Government of any foreign country or territory and any agency of such Government; (ii) any international agency, not being the United Nations or any of its specialised agencies, the World Bank, International Monetary Fund or such other agency as the Central Government may, by noti... for providing a personDefined in section 2(m): person includes— (i) an individual; (ii) a Hindu undivided family; (iii) an association; (iv) a company registered under section 25 of the Companies Act, 1956 (1 of 1956) with the costs of travel to any foreign country or territory or with free boarding, lodging, transport or medical treatment;
(j) "foreign sourceDefined in section 2(j): foreign source includes,— (i) the Government of any foreign country or territory and any agency of such Government; (ii) any international agency, not being the United Nations or any of its specialised agencies, the World Bank, International Monetary Fund or such other agency as the Central Government may, by noti..." includes,—
(i) the Government of any foreign country or territory and any agency of such Government;
(ii) any international agency, not being the United Nations or any of its specialised agencies, the World BankDefined in section 2(c): bank means a banking company as referred to in clause (c) of section 5 of the Banking Regulation Act, 1949 (10 of 1949), International Monetary Fund or such other agency as the Central Government may, by notificationDefined in section 2(l): notification means notification published in the Official Gazette and the expression notify shall be construed accordingly, specify in this behalf;
(iii) a foreign companyDefined in section 2(g): foreign company means any company or association or body of individuals incorporated outside India and includes— (i) a foreign company within the meaning of section 591 of the Companies Act, 1956 (1 of 1956); (ii) a company which is a subsidiary of a foreign company; (iii) the registered office or principal place ...;
(iv) a corporation, not being a foreign companyDefined in section 2(g): foreign company means any company or association or body of individuals incorporated outside India and includes— (i) a foreign company within the meaning of section 591 of the Companies Act, 1956 (1 of 1956); (ii) a company which is a subsidiary of a foreign company; (iii) the registered office or principal place ..., incorporated in a foreign country or territory;
(v) a multi-national corporation referred to in sub-clause (iv) of clause (g);
(vi) a companyDefined in section 2(f): company shall have the meaning assigned to it under clause (17) of section 2 of the Income tax Act, 1961 (43 of 1961) within the meaning of the Companies Act, 1956 (1 of 1956), and more than one-half of the nominal value of its share capital is held, either singly or in the aggregate, by one or more of the following, namely:—
(A) the Government of a foreign country or territory;
(B) the citizens of a foreign country or territory;
(C) corporations incorporated in a foreign country or territory;
(D) trusts, societies or other associations of individuals (whether incorporated or not), formed or registered in a foreign country or territory;
(E) foreign companyDefined in section 2(g): foreign company means any company or association or body of individuals incorporated outside India and includes— (i) a foreign company within the meaning of section 591 of the Companies Act, 1956 (1 of 1956); (ii) a company which is a subsidiary of a foreign company; (iii) the registered office or principal place ...;
The proviso inserted by Finance Act, 2016, s. 236, dated 14th May, 2016, with effect from 5 August 1976Provided that where the nominal value of share capital is within the limits specified for foreign investment under the Foreign Exchange Management Act, 1999 (42 of 1999), or the rules or regulations made thereunder, then, notwithstanding the nominal value of share capital of a companyDefined in section 2(f): company shall have the meaning assigned to it under clause (17) of section 2 of the Income tax Act, 1961 (43 of 1961) being more than one-half of such value at the time of making the contribution, such companyDefined in section 2(f): company shall have the meaning assigned to it under clause (17) of section 2 of the Income tax Act, 1961 (43 of 1961) shall not be a foreign sourceDefined in section 2(j): foreign source includes,— (i) the Government of any foreign country or territory and any agency of such Government; (ii) any international agency, not being the United Nations or any of its specialised agencies, the World Bank, International Monetary Fund or such other agency as the Central Government may, by noti...;
(vii) a trade unionDefined in section 2(u): trade union means a trade union registered under the Trade Unions Act, 1926 (16 of 1926); (2) Words and expressions used herein and not defined in this Act but defined in the Representation of the People Act, 1950 (43 of 1950) or the Representation of the People Act, 1951 (43 of 1951) or the Foreign Exchange Managem... in any foreign country or territory, whether or not registered in such foreign country or territory;
(viii) a foreign trust or a foreign foundation, by whatever name called, or such trust or foundation mainly financed by a foreign country or territory;
(ix) a society, club or other associationDefined in section 2(a): association means an association of individuals, whether incorporated or not, having an office in India and includes a society, whether registered under the Societies Registration Act, 1860 (21 of 1860), or not, and any other organisation, by whatever name called of individuals formed or registered outside India;
(x) a citizen of a foreign country;
(k) "LegislatureDefined in section 2(k): Legislature means— (A) either House of Parliament; (B) the Legislative Assembly of a State, or in the case of a State having a Legislative Council, either House of the Legislature of that State; (C) Legislative Assembly of a Union territory constituted under the Government of Union Territories Act, 1963 (20 of 196..." means—
(A) either House of Parliament;
(B) the Legislative Assembly of a State, or in the case of a State having a Legislative Council, either House of the LegislatureDefined in section 2(k): Legislature means— (A) either House of Parliament; (B) the Legislative Assembly of a State, or in the case of a State having a Legislative Council, either House of the Legislature of that State; (C) Legislative Assembly of a Union territory constituted under the Government of Union Territories Act, 1963 (20 of 196... of that State;
(C) Legislative Assembly of a Union territory constituted under the Government of Union Territories Act, 1963 (20 of 1963);
(D) Legislative Assembly for the National Capital Territory of Delhi referred to in the Government of National Capital Territory of Delhi Act, 1991 (1 of 1992);
(E) Municipality as defined in clause (e) of article 243P of the Constitution;
(F) District Councils and Regional Councils in the States of Assam, Meghalaya, Tripura and Mizoram as provided in the Sixth Schedule to the Constitution;
(G) Panchayat as defined in clause (d) of article 243 of the Constitution; or
(H) any other elective body as may be notified by the Central Government;
(l) "notificationDefined in section 2(l): notification means notification published in the Official Gazette and the expression notify shall be construed accordingly" means notificationDefined in section 2(l): notification means notification published in the Official Gazette and the expression notify shall be construed accordingly published in the Official Gazette and the expression "notify" shall be construed accordingly;
(m) "personDefined in section 2(m): person includes— (i) an individual; (ii) a Hindu undivided family; (iii) an association; (iv) a company registered under section 25 of the Companies Act, 1956 (1 of 1956)" includes—
(i) an individual;
(ii) a Hindu undivided family;
(iii) an associationDefined in section 2(a): association means an association of individuals, whether incorporated or not, having an office in India and includes a society, whether registered under the Societies Registration Act, 1860 (21 of 1860), or not, and any other organisation, by whatever name called;
(iv) a companyDefined in section 2(f): company shall have the meaning assigned to it under clause (17) of section 2 of the Income tax Act, 1961 (43 of 1961) registered under section 25 of the Companies Act, 1956 (1 of 1956);
(n) "political partyDefined in section 2(n): political party means— (i) an association or body of individual citizens of India— (A) to be registered with the Election Commission of India as a political party under section 29A of the Representation of the People Act, 1951 (43 of 1951); or (B) which has set up candidates for election to any Legislature, but ..." means—
(i) an associationDefined in section 2(a): association means an association of individuals, whether incorporated or not, having an office in India and includes a society, whether registered under the Societies Registration Act, 1860 (21 of 1860), or not, and any other organisation, by whatever name called or body of individual citizens of India—
(A) to be registered with the Election Commission of India as a political partyDefined in section 2(n): political party means— (i) an association or body of individual citizens of India— (A) to be registered with the Election Commission of India as a political party under section 29A of the Representation of the People Act, 1951 (43 of 1951); or (B) which has set up candidates for election to any Legislature, but ... under section 29A of the Representation of the People Act, 1951 (43 of 1951); or
(B) which has set up candidates for election to any LegislatureDefined in section 2(k): Legislature means— (A) either House of Parliament; (B) the Legislative Assembly of a State, or in the case of a State having a Legislative Council, either House of the Legislature of that State; (C) Legislative Assembly of a Union territory constituted under the Government of Union Territories Act, 1963 (20 of 196..., but is not so registered or deemed to be registered under the Election Symbols (Reservation and Allotment) Order, 1968;
(ii) a political partyDefined in section 2(n): political party means— (i) an association or body of individual citizens of India— (A) to be registered with the Election Commission of India as a political party under section 29A of the Representation of the People Act, 1951 (43 of 1951); or (B) which has set up candidates for election to any Legislature, but ... mentioned in column 2 of Table 1 and Table 2 to the notificationDefined in section 2(l): notification means notification published in the Official Gazette and the expression notify shall be construed accordingly of the Election Commission of India No. 56/J&K/02, dated the 8th August, 2002, as in force for the time being;
(o) "prescribedDefined in section 2(o): prescribed means prescribed by rules made under this Act" means prescribedDefined in section 2(o): prescribed means prescribed by rules made under this Act by rules made under this Act;
(p) "prescribed authorityDefined in section 2(p): prescribed authority means an authority specified as such by rules made by the Central Government under this Act" means an authority specified as such by rules made by the Central Government under this Act;
(q) "registered newspaperDefined in section 2(q): registered newspaper means a newspaper registered under the Press and Registration of Books Act, 1867 (25 of 1867)" means a newspaper registered under the Press and Registration of Books Act, 1867 (25 of 1867);
(r) "relative" has the meaning assigned to it in clause (41) of section 2 of the Companies Act, 1956 (1 of 1956);
(s) "scheduled bankDefined in section 2(s): scheduled bank shall have the meaning assigned to it under clause (e) of section 2 of the Reserve Bank of India Act, 1934 (2 of 1934)" shall have the meaning assigned to it under clause (e) of section 2 of the Reserve BankDefined in section 2(c): bank means a banking company as referred to in clause (c) of section 5 of the Banking Regulation Act, 1949 (10 of 1949) of India Act, 1934 (2 of 1934);
(t) "subsidiaryDefined in section 2(t): subsidiary and associate shall have the meanings, respectively assigned to them in the Companies Act, 1956 (1 of 1956)" and "associateDefined in section 2(t): subsidiary and associate shall have the meanings, respectively assigned to them in the Companies Act, 1956 (1 of 1956)" shall have the meanings, respectively assigned to them in the Companies Act, 1956 (1 of 1956);
(u) "trade unionDefined in section 2(u): trade union means a trade union registered under the Trade Unions Act, 1926 (16 of 1926); (2) Words and expressions used herein and not defined in this Act but defined in the Representation of the People Act, 1950 (43 of 1950) or the Representation of the People Act, 1951 (43 of 1951) or the Foreign Exchange Managem..." means a trade unionDefined in section 2(u): trade union means a trade union registered under the Trade Unions Act, 1926 (16 of 1926); (2) Words and expressions used herein and not defined in this Act but defined in the Representation of the People Act, 1950 (43 of 1950) or the Representation of the People Act, 1951 (43 of 1951) or the Foreign Exchange Managem... registered under the Trade Unions Act, 1926 (16 of 1926);
(2) Words and expressions used herein and not defined in this Act but defined in the Representation of the People Act, 1950 (43 of 1950) or the Representation of the People Act, 1951 (43 of 1951) or the Foreign Exchange Management Act, 1999 (42 of 1999) shall have the meanings respectively assigned to them in those Acts.