Articles 3rd Sep 2024
The recent amendments in the Finance (No. 2) Act, 2024 are set to reshape the way buy-backs are taxed, aligning it more closely with dividend taxation. In this article, discusses the history of buy-back tax in India, analysed the amendments made vide Finance (No.2) Act, 2024, summarised implications of the amended provisions for the company as well as the shareholders and identified key potential issues and challenges that could be faced by the taxpayers.
Against this backdrop, Our Partner Mitesh Jain, Associate Partner Jishaan Jain & Associate Ketal Chandaliya has co-authored an article published in Mondaq. They are of opinion that there is a need for a thorough re-evaluation and possible redesign of the buy-back tax provisions so that the legislative intent is fully realized without imposing undue / additional burden on the taxpayers.
This article navigates these changes effectively and understand the potential impact on your tax strategy.
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