GAAR won't apply to income arising from transfer of investments: CBDT

Govt Exempts Pre-2017 Deals From Anti-Tax Avoidance Laws

After years of back and forth, the Central Board of Direct Taxes (CBDT) has now clarified that anti-tax avoidance laws will not be applicable to investments made before April 2017. In a gazette note dated March 31, the finance ministry said that gains from investments ⁠made before April 2017 would not be subject to ​any scrutiny under the country’s stricter anti-tax avoidance ​rules, which seek to curb aggressive tax planning and evasion.  Clubb…

GAAR won't apply to income arising from transfer of investments: CBDT

New Delhi, April 1, 2026 The Central Board of Direct Taxes (CBDT) has amended income tax rules to provide clarity on the applicability of General Anti-Avoidance Rules (GAAR), in a move aimed at reducing ambiguity around tax avoidance provisions. In its notification, the CBDT said that GAAR will not apply to income arising from the transfer of investments made before April 1, 2017. The amendment will come into effect from April 1, 2026. The clari…