CBDT's circular to offer clarity on indirect tax transfers under M&As

Print Posted Date : 18-Jul-2012 , 07:27:56 am | Posted By CASANSAAR

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In a major boost to foreign investors’ sentiment, the Central Board of Direct Taxes (CBDT) is likely to come out with a circular to bring more clarity on indirect tax transfers under a particular merger or acquisition.

The CBDT’s circular will be on Section 9 of the Income Tax Act. Moreover, deals like Cadbury-Kraft and others might just be out of the tax department’s ambit, given the scope of the circular. However, there may be no tax respite for Vodafone.

Taxing M&As:

CBDT likely to issue a circular on Section 9

Circular to clarify definition of underlying assets

50% underlying assets in India for India to tax the deal

Cadbury-Kraft deal could be out of tax ambit post circular

No tax respite for Vodafone

Most M&A deals outside tax ambit as per new norms

Circular to delete unintended tax impact on M&As

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