Which of the following statements is/are correct with reference to the retrospective tax?
A. A retrospective tax is one that is charged for transactions in the long past.
B. Centre recently moved to redact retrospective tax law.
C. Both A & B
D. None of thesse
Explanation:
The government of India took the first step towards doing away with the contentious retrospective tax law of 2012, which was used to raise large tax demands on foreign investors like Vodafone and Cairn Energy, and blamed for vitiating India’s investment climate. A retrospective tax is one that is charged for transactions in the long past. It can be a new or additional charge on transactions done in the past.
