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Core Purpose

Amends the Income-tax Rules, 1962 by inserting rules for special provisions for computation of profits from cruise ship operations for non-residents.

Detailed Summary

This notification issued by the Central Board of Direct Taxes introduces the Income-tax (First Amendment) Rules, 2025, effective from the date of publication in the Official Gazette. It amends the Income-tax Rules, 1962 by inserting new rule 'CCCB' and '6GB'. These rules establish special provisions for computing profits and gains from cruise ship operations for non-resident assessees under section 44BBC of the Income-tax Act, 1961. Rule 6GB specifies conditions for non-resident entities engaged in cruise ship operations to qualify under section 44BBC, including requirements related to passenger capacity (over 200), ship length (over 75 meters), purpose (leisure/recreation), port of call (at least two Indian ports or same port twice), primary carriage (passengers not cargo), and adherence to guidelines issued by the Ministry of Tourism or Ministry of Shipping.

Full Text

REGD. No. D. L.-33004/99 The Gazette of India CG-DL-E-22012025-260357 EXTRAORDINARY PART II-Section 3-Sub-section (i) PUBLISHED BY AUTHORITY No. 38] NEW DELHI, TUESDAY, JANUARY 21, 2025/ MAGHA 1, 1946 MINISTRY OF FINANCE (Department of Revenue) (CENTRAL BOARD OF DIRECT TAXES) NOTIFICATION New Delhi, the 21st January, 2025 INCOME-TAX G.S.R. 67(E). In exercise of the powers conferred by section 295 read with the sub-section (1) of section 44BBC of the Income-tax Act, 1961 (43 of 1961), the Central Board of Direct Taxes hereby makes the following rules further to amend the Income-tax Rules, 1962, namely:— 1. (1) These rules may be called the Income-tax (First Amendment) Rules, 2025. (2) They shall come into force on the date of their publication in the Official Gazette. 2. In the Income-tax Rules, 1962, after rule 6GA, the following shall be inserted, namely:- “CCCB.- Special provisions for computing profits and gains of business of operation of cruise ships in case of non-residents. 6GB. Conditions for non-resident, engaged in the business of operation of cruise ships for section 44BBC. For the purposes of section 44BBC, an assessee, being a non-resident, engaged in the business of operation of cruise ships shall, (i) operate a passenger ship having a carrying capacity of more than two hundred passengers or length of seventy-five meters or more, for leisure and recreational purposes and having appropriate dining and cabin facilities for passengers; (ii) operate such ship on scheduled voyage or shore excursion touching at least two sea ports of India or same sea ports of India twice; (iii) operate such ship primarily for carrying passengers and not for carrying cargo; and (iv) operate such ship as per the procedure and guidelines if any, issued by the Ministry of Tourism or Ministry of Shipping.". [Notification No. 9/2025/ F.No.370142/18/2024-TPL] SOURABH JAIN, Under Secy. Note: The principal rules were published in the Gazette of India, Extraordinary, Part-II, section 3, sub-section (ii) vide number S.O. 969(E), dated the 26th March, 1962 and were last amended vide notification number G.S.R. 739(E) dated the 29th November, 2024.

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