(5)Where any amount credited to the reserve account under clause (b) of sub-section (1),-(a)has been utilised for any purpose other than those referred to in sub-section (4), the amount so utilised; or(b)has not been utilised in the manner specified in sub-section (4), the amount not so utilised, shall be deemed to be the profits,-(i)in a case referred to in clause (a), in the year in which the amount was so utilised; or(ii)in a case referred to in clause (b), in the year immediately following the period of five years specified in sub-section (4), and shall be charged to tax accordingly.][(5-A) Where any amount credited to the reserve account under clause (b) of sub-section (1) has been utilised for subscription to any equity shares referred to in clause (f) of sub-section (4) and either whole or any part of such equity shares are transferred or converted into money by the assessee at any time within a period of three years from the date of their acquisition, the aggregate amount so utilised in respect of such equity shares shall be deemed to be the profits of the previous year in which the equity shares are transferred or converted into money.Explanation. - A person shall be treated as having acquired any shares on the date on which his name is entered in relation to those shares in the register of members of the public company.] [ Inserted by Act 27 of 1999, Section 47 (w.e.f. 1.4.2000).]
