The provisions of the notification number G.S.R. 127(E) dated 19th February 2019 have been fully implemented, easing norms for providing tax relief to Startups on angel investments.

Recap 2015: Unending see-saws of taxation rows

Resolutions often seemed to be very much in sight but one barrier or the other kept thwarting the progresses.

The two long-hanging taxation issues—involving Vodafone and Nokia—continued to generate much press but only to remain unresolved. Particularly, the Vodafone India dispute with tax authorities over transfer pricing of call center business to Hutchison in FY 2007-08 assumed an epic proportion as it ran into the seventh year of dispute.

The last ruling by the Bombay High Court, however, has gone in Vodafone’s favor, setting aside a demand for Rs 3,700 in taxes.

Meanwhile, fresh tax notices were issued to Nokia India in October for disputes relating to assessment years other than those already being contested.

The government is understood to be keen to resolve the issues in a reasonable manner, given the positive signals that would go out to the existing and potential investors who would be playing pivotal roles in making programs like Make in India and Digital India successes.

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