Experts seek tax law change to shield older Mauritius investments
In short
Experts Dinesh Kanabar and Porus Kaka want India’s tax law changed to protect investments made before April 2017. They say those older deals could be challenged under the treaty’s new Principal Purpose Test and GAAR.
This matters for investors with old Mauritius-linked holdings. It is not stated whether the government will make the change.
What the reporting says
Dinesh Kanabar and Porus Kaka are urging changes to India’s Income-tax Act to protect pre-April 2017 investments from treaty challenges under the new Principal Purpose Test and GAAR. The reporting says the request is meant to shield older holdings from fresh scrutiny, but it does not state whether the government is considering the amendment or how many investments would be affected. The legal and tax outcome remains unknown.
Why it matters
Dinesh Kanabar and Porus Kaka are calling for an amendment to the Income-tax Act to protect pre-April 2017 investments from challenges under the Mauritius treaty’s new Principal Purpose Test and GAAR. The story centers on tax certainty for older holdings, especially for investors using the treaty route. The reporting does not say whether the proposal has official support or what assets are directly affected.