Globally, tax laws have been evolving over time to keep pace with changes in the socio-economic and political spheres. These changes have been triggered by the desire to protect and expand the tax base.

Internationally, these changes are reflected in initiatives such as Base Erosion and Profit Shifting (BEPs). The Indian government intends to overhaul its existing Income Tax Act, 1961 (the Act). In order to review the existing Act and to draft a new direct tax law in consonance with the country’s economic needs, the government has constituted a task force. Its mandate is ...