After the 'The Taxation Laws (Amendment) Bill, 2021' was returned by Rajya Sabha, all tax demands made on companies using a 2012 legislation on indirect transfer of Indian assets prior to May 28, 2012 will be withdrawn. A bill that aims to end all retrospective taxes imposed on indirect transfer of Indian assets was returned by Rajya Sabha on August 9 amidst a walkout by the Congress, TMC and DMK. Now After the 'The Taxation Laws (Amendment) Bill, 2021' is returned by Rajya Sabha too, all tax demands made on companies like Cairn Energy and Vodafone using a 2012 legislation on indirect transfer of Indian assets prior to May 28, 2012 will be withdrawn. Also Read: Explained | Why is retrospective tax being scrapped? It further proposed that the tax on indirect transfer of Indian assets made before May 28, 2012, shall be nullified on furnishing of undertaking for withdrawal of pending litigation.

Source: The Hindu August 09, 2021 12:22 UTC