Insights

India: Direct & Indirect Tax Update

Gopal Mundhra 09 May 2025

An overview by Economic Laws Practice, Taxand India

Gopal Krishna Mundhra, Dipesh Jain, Parth Parikh, CA Sumeet Agrawal, Vaibhav Binayake, Rajath Bharadwaj, Priyadarshini Shekhawat and Saiyam Jain from our Indian member firm Economic Laws Practice have published the latest edition of their direct & indirect tax update, which aims to keep readers updated on recent developments in tax decisions to ensure compliance and optimise tax strategies.

This includes recent case law on:

• A Delhi Tribunal ruling that asset transfers under a Scheme of Arrangement do not qualify as a ‘Demerger’ under the Income-tax Act; however, capital loss from such transfers is allowable.
• No GST is payable under Reverse Charge Mechanism (RCM) on development rights transferred in a Joint Development Agreement (JDA).
• Penalties cannot be imposed under the Customs Tariff Act for IGST demands relating to periods before 16 August 2024.
• Input Tax Credit (ITC) cannot be denied in bill-to-ship-to transactions solely due to lack of physical delivery to the billed party.

You can read the full update in more detail here

Article tags

India | Indirect Tax | Tax