Taxation

Tax department proposes to ease anti-abuse clause in finance bill

“On a literal reading, it could encompass both primary as well as secondary transactions, including genuine transactions such as purchase of shares under employee stock options, fresh fund-raising by listed companies from promoters or financial investors during down-turn and genuine off-market purchases such as share acquisition where price also includes control premium.”

Ravi Mehta
Partner, Grant Thornton India LLP

This article apeared in Live Mint on 5th April, 2017.