The UK firm had earlier given required undertakings indemnifying the Centre against future claims as well as agreeing to drop any legal proceedings anywhere in the world.
UK firm Cairn Energy had said it would drop litigation to seize Air India's assets in the US after it gets the $1 billion refund, which is due to it after India scrapped its retrospective tax law.
The move follows the Modi govt agreeing to refund Rs 7,900 crore to Cairn & scrapping retrospective tax, resulting in withdrawal of Rs 10,247 crore tax demand on the British firm.
Cairn, which last year won an arbitration award for $1.7 bn over a controversial retrospective tax demand, has called Air India 'an alter ego' of the Indian govt.
The govt earlier enacted Taxation Laws (Amendment) Act which removed its power to slap capital gains levies wherever ownership had changed hands overseas but their assets were in India.
Retrospective taxes are just one facet of arbitrary state action. MNCs that have committed billions of dollars have many other legal minefields awaiting them.
Decision will end India’s dispute with Vodafone Plc and Cairn Energy Plc, and in 15 other similar cases. FM Sitharaman notes that the retrospective tax became a ‘sore point’ with investors.
A tax dispute stemming from a 15-year old transaction has adversely impacted India’s efforts to project itself as an investor friendly destination. ThePrint explains
Pakistan’s reported air strikes on Kabul last night, coinciding with Acting Afghan Foreign Minister Amir Khan Muttaqi’s visit to India, seem intended to send...
Recommendations appear in Niti Aayog’s Tax Policy Working Paper Series–II. It says there is a need to shift away from fear-based enforcement to trust-based governance.
In service with the British military since 2019, it is also known as the Martlet missile. Ukrainians have also deployed these missiles against Russian troops.
Pakistan’s army has been a rentier force available to a reasonable bidder. It has never come to the aid of any Muslims including Palestinians or the Gazans, except making noises here and there.
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