India: Retroactive tax law changes | KPMG | GLOBAL
Share with your friends

India: Retroactive tax law changes; 10-year period for tax benefits

India: Retroactive tax law changes

The KPMG member firm in India has prepared reports about the following tax developments (read more at the hyperlinks provided below).


Related content

  • Determining when legislative changes apply retroactively: The Supreme Court of India held that when the amount of withheld tax is remitted to the government after the end of the financial year but before the due date for filing the tax return, a legislative amendment that there is no disallowance of a deduction when the tax withheld is deposited with the government before the due date of the return filing applies retroactively (from the effective date of the affected section of the tax law). The case is: Calcutta Export Company. Read a May 2018 report [PDF 441 KB]
  • Determining what triggers the 10-year period for specific tax benefits: The Supreme Court of India—in a case concerning the period for measuring a 10-year tax benefit available under a provision of Indian tax law—held that the period is limited to eligible industrial undertakings or enterprises that are set-up in the north-eastern region and that because the taxpayer’s substantial expansion was completed by 1 April 2005, the 10-year period applies from Assessment Year (AY) 2006-07 onwards. The case is: Mahabir Industries. Read a May 2018 report [PDF 683 KB]
  • Payments for marketing and distribution rights held taxable royalty: The Bangalore Bench of the Income-tax Appellate Tribunal held that payments for marketing and distribution rights of an “adwords” program were taxable as income. Under the adwords program’s distribution and service agreements, the taxpayer was licensed to use certain confidential information, technical know-how, trade mark, brand features, derivative works, etc., but ownership of these intangibles remained with the foreign company. The tribunal found this license was not merely an agreement to provide advertisement space but was a license to be used in facilitating the display and publishing of an advertisement to targeted customers. The case is: Google India Private Ltd. Read a May 2018 report [PDF 610 KB]
  • Charges under Employees’ Provident Funds and Miscellaneous Provisions Act, 1952: A notice concerns revisions to the rate of administrative charges under the Employees’ Provident Funds and Miscellaneous Provisions Act, 1952, and is effective 1 June 2018. Read a May 2018 report [PDF 658 KB]

The KPMG logo and name are trademarks of KPMG International. KPMG International is a Swiss cooperative that serves as a coordinating entity for a network of independent member firms. KPMG International provides no audit or other client services. Such services are provided solely by member firms in their respective geographic areas. KPMG International and its member firms are legally distinct and separate entities. They are not and nothing contained herein shall be construed to place these entities in the relationship of parents, subsidiaries, agents, partners, or joint venturers. No member firm has any authority (actual, apparent, implied or otherwise) to obligate or bind KPMG International or any member firm in any manner whatsoever. The information contained in herein is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although we endeavor to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future. No one should act on such information without appropriate professional advice after a thorough examination of the particular situation. For more information, contact KPMG's Federal Tax Legislative and Regulatory Services Group at: + 1 202 533 4366, 1801 K Street NW, Washington, DC 20006.

Connect with us


Request for proposal