The evolution of taxation of equity share buybacks in India has undergone a tumultuous journey over the recent years giving rise to a tangle of consequences that have become evident in practice. The latest Infosys buyback, priced at ₹1,800 per share with an 18% premium over the market rate is a glaring example of the challenges embedded in the legal framework evolved after the Finance Act (“FA”) amendment of 2024 which deemed the entire buyback consideration as dividend incom

In the 21st century, the world has witnessed unprecedented globalisation, with many MNCs venturing into global investments and generating substantial revenue. This international context is crucial to understanding the dynamics of Double Taxation Agreements and the Mutual Agreement Procedure (MAP) for resolving tax disputes, which aim to prevent Double Taxation.[1] However, there are drawbacks within MAPs due to firstly(i) the duration of time it took; secondly(ii) there w

The Next-Gen GST reforms introduced in September 2025 mark a major restructuring of India’s indirect tax system. The policy reform significantly alters the coal sector by increasing the tax slab from 5% to 18%, and eliminating compensation cess. This article raises the question of whether this reform projected as a step towards simplicity and sustainability in fact poses deeper structural challenges. It begins by analysing the impact on coal-producing states, and subsequently

The Central Board of Indirect Taxes and Customs (“CBIC”) determined that the date of 1st April 2025 (Sunset clause) would be the last date on which no authority referred to in the CGST Act 2017 (“the Act”) would take up cases on anti-profiteering grounds. However, pending matters (initiated before April 2025) shall be looked into by the relevant authority, which is the Appellate Tribunal (“Tribunal”) constituted under Section 109 of the Act. The Council, in its meeting, cite

Imagine a situation where a tax authority accesses your social media account, cloud server, email ID, online investment portfolio, etc., on the mere suspicion that you are concealing income or evading taxes without your explicit consent. This isn’t a dystopian novel. This is going to be a real possibility from 1st April 2026, with the introduction of “Virtual digital space” in Clause 261(i) (“the Clause”) of the Income Tax Bill, 2025(“the Bill”), in the Lok Sabha in February

Recently, in Hyatt International Southwest Asia Ltd. v. Additional Director of Income Tax (‘the Hyatt’), the Hon’ble Supreme Court (‘the Court’) delivered a significant judgment concerning the interpretation of a fixed place Permanent Establishment (‘PE’) under International Taxation. This judgement is particularly significant for how non-resident entities (‘NR’) are taxed in India for having a taxable presence within the country. The Hyatt found that Hyatt International Sout

The author is Gurasis Singh Grover , a Fifth Year Student from Indian Institute of Management (IIM) Rohtak. Abstract: The taxation of slump sales is not amenable to the general computation of capital gains under Section 45 of Income Tax Act 1961 (“the Act”). Hence, Section 50B introduced a special mechanism for computation. Finance Act 2021 amended Section 50B of the Act to widen the scope of slump sales. Subsequently a CBDT Notification dated 24 May 2021 inserted Rule 11UAE

The Supreme Court recently confirmed the Delhi High Court’s judgment which held that Hyatt had a permanent establishment under Article 5 of the Indo-UAE DTAA, thereby denying them benefits under the Indo-UAE DTAA. Relying on the two tests laid down in the Formula One World Championship Ltd v. Commissioner of Income Tax, the court held that Hyatt held substantive control over AHL’s operations. This article argues that the Court overlooked factual differences and misapplied the

The Goods and Services Tax (hereinafter GST) was introduced by the 122nd Constitutional Amendment Bill, 2014, to provide an integrated indirect tax structure for the country. India was subjected to an elaborate system of indirect taxes by virtue of multiple State and Central levies, which were regarded as hidden costs in the process of trade and industry. So the amendment seeks to simplify the system by providing for a comprehensive, destination-based tax system...

With the growing trends of Multinational Companies employing Debt financing instead of equity financing, not only the capital structure of the Companies were distorted, but also the problem of profit shifting and base erosion occurred. Even though the origin of the implementation of thin capitalisation rules in India can be traced back to OECD guidelines, there were a handful of nations that had implemented the rule even before the OECD had acknowledged the problem. What has

Although log abolished, Indian Inheritance tax remains a hot topic in the tax policy discussions as recently the centre hinted at its pos...

The piece explores the interpretation and evidentiary precision required under section 153 C of Income Tax Act, 1961. The recent order in...

Countries across the globe have intensified their protection against climate change. The European Union's Carbon Border Adjustment Mechan...

This blog breaks down the recent judgement given by the Punjab & Haryana High Court in Union of India v. Punjab State Electricity Board &...