Civil Services Examination · ప్రశ్న 8

Which one of the following situations best reflects "Indirect Transfers" often talked about in media recently with reference to India?

An Indian company investing in a foreign enterprise and paying taxes to the foreign country on the profits arising out of its investment
A foreign company investing in India and paying taxes to the country of its base on the profits arising out of its investment
An Indian company purchases tangible assets in a foreign country and sells such assets after their value increases and transfers the proceeds to India
A foreign company transfers shares and such shares derive their substantial value from assets located in India

సమాధానం చూపించు & వివరణ

సమాధానం: (D) A foreign company transfers shares and such shares derive their substantial value from assets located in India

వివరణ

Indirect transfer refers to transfer of shares of a foreign entity whose value substantially derives from Indian assets (e.g., the Vodafone and Cairn retrospective tax cases).