GAAR to be applicable from FY14: FM
Withdraws levy on all branded and non-branded jewellery
Finance Minister Pranab Mukhrjee today announced amendments in the General Anti-Avoidance Rule (GAAR). The following are the highlights of the announcement:
- Proposed retro amendments do not override DTAAs
- STT on sale of unlisted tax securities at 0.2%
- Remove onus of proof from tax payer
- Amending GAAR provision in Finance Bill
- GAAR deferred by one year, to be applicable from FY14
- Not to use retro amendments on cases where assessment final
- Hikes threshold for tax on gold jewellery to Rs 5 lakh
- Withdraws levy on all branded and non-branded jewellery
- Tax neutrality if foreign bks convert branches to subs
- Clarificatory proposals will not override tax treaties
- To introduce independent member to GAAR panel
Details awaited...