Latest Expert Exchange Queries
sitemapHome | Registration | Job Portal for CA's | Expert Exchange | Currency Converter | Post Matrimonial Ads | Post Property Ads
 
 
News shortcuts: From the Courts | News Headlines | VAT (Value Added Tax) | Service Tax | Sales Tax | Placements & Empanelment | Various Acts & Rules | Latest Circulars | New Forms | Forex | Auditing | Direct Tax | Customs and Excise | ICAI | Corporate Law | Markets | Students | General | Indirect Tax | Mergers and Acquisitions | Continuing Prof. Edu. | Budget Extravaganza | Transfer Pricing
 
 
 
 
Popular Search: cpt :: VAT Audit :: ARTICLES ON INPUT TAX CREDIT IN VAT :: ICAI offer Get Windows 7,Office 2010 in Rs.799 Taxes :: ACCOUNTING STANDARD :: ACCOUNTING STANDARDS :: articles on VAT and GST in India :: list of goods taxed at 4% :: TDS :: TAX RATES - GOODS TAXABLE @ 4% :: empanelment :: form 3cd :: VAT RATES :: due date for vat payment :: Central Excise rule to resale the machines to a new company
 
 
« Mergers and Acquisitions »
 What is Triggering the Wave of Mergers & Acquisitions in the Indian Internet Space?
 Oil and gas mergers and acquisitions are finally making a comeback
  Mergers: Commission approves acquisition of St Jude Medical by Abbott Laboratories, subject to conditions
 Mergers and Acquisitions: What’s Happening in the OFS Industry?
 Mergers: Commission approves acquisition of St Jude Medical by Abbott Laboratories, subject to conditions
 Prediction: These 8 Companies Will Get Bought in 2017
 Third Quarter Results Show Continued Strength in Mergers and Acquisitions
 Mergers and Acquisitions Modelling 3 Day Course - 23.03.17 - Research and Markets
 Foiled cross-border mergers and acquisitions
 Mergers and Acquisitions: 15 Important Considerations for In-House Counsel
 U.S. mergers and acquisitions activity expected to remain steady in 2017: KPMG

IT Department is looking into other cross-border M&A
September, 14th 2010

After winning the legal battle with Vodafone in a tax evasion case, the Income Tax Department is looking into other cross-border mergers and acquisitions.

Central Board of Direct Taxes Chairman S S N Moorthy today said the department was closely examining similar deals which had happened in the recent past and led to possible tax evasion.

We are in the process of investigating other cases. They are in various stages of processing, Moorthy told reporters on the sidelines of a seminar organised by industry body Assocham. He, however, refused to specify the cases.

In the past, similar transactions have been seen in case of companies like Vedanta, Sesa Goa, AT&T, General Electric and Fosters. British firm Cairn Energy has already agreed to pay tax in India as well as the UK on selling its stake in Cairn India to Vedanta Resources for $6.65 billion to $8.48 billion. Depending upon the size of the stake sale, the tax liability could range between $868 million and $1.1 billion.

Last week, the Bombay High Court had ruled that the Income Tax Department had the jurisdiction to tax Vodafones acquisition of Hong Kongs Hutchison Telecommunications stake in Hutch Essar for over $11 billion in 2007.

The tax on the transaction could be around Rs 12,000 crore, including interest.

According to experts, the high court said Vodafone was a peculiar case and that left some room for other companies, provided they were able to distinguish their facts from the Vodafone case.

The court had asked the tax department not to act on its order for eight weeks. Moorthy said the officials would abide by the order and not proceed with any tax notice before the expiry of this period.

Moorthy also said that the Safe Harbour rules, which would exempt Indian units of foreign companies from detailed scrutiny of tax officials while filing returns, were at an advanced stage of consideration.

It will be a very favourable programme... We are working on it and it will be in place as early as possible," he added.

Regarding outlook on direct tax collections, Moorthy said collections, especially on the corporate side, would pick up in September.

Indias direct tax mop-up during April-August grew 13.91 per cent to touch Rs 1,00,112 crore. Corporation income-tax collections increased 17.05 per cent to Rs 57,750 crore.

 
 
Home | About Us | Terms and Conditions | Contact Us
Copyright 2016 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Software Reengineering Software Re-engineering Software Reverse Engineering Software Reverse Development Software Change Modulation Software Conversion Software Re-creation Software Re-development

Transfer Pricing | International Taxation | Business Consulting | Corporate Compliance and Consulting | Assurance and Risk Advisory | Indirect Taxes | Direct Taxes | Transaction Advisory | Regular Compliance and Reporting | Tax Assessments | International Taxation Advisory | Capital Structuring | Withholding tax advisory | Expatriate Tax Reporting | Litigation | Badges | Club Badges | Seals | Military Insignias | Emblems | Family Crest | Software Development India | Software Development Company | SEO Company | Web Application Development | MLM Software | MLM Solutions