https://www.taxtmi.com/caselaws?id=175335 A proposed vertical short form amalgamation of a foreign company with its foreign holding company, resulting in vesting of shares of an Indian company in the amalgamated foreign company, was held not to trigger capital gains tax in India under section 47(via) of the Income-tax Act. The arrangement satisfied the statutory concept of amalgamation under section 2(1B), and the Canadian law mechanism was treated as meeting the amalgamation requirement. Although the India-Canada DTAA would otherwise permit India to tax gains from alienation of the Indian shares, the domestic exemption applied because the transaction was not shown to attract capital gains tax in Canada, including under the Canadian anti-avoidance provision referenced. en-us Mon, 19 Sep 1994 00:00:00 +0530 Sat, 21 Nov 2015 22:28:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=175335 A proposed vertical short form amalgamation of a foreign company with its foreign holding company, resulting in vesting of shares of an Indian company in the amalgamated foreign company, was held not to trigger capital gains tax in India under section 47(via) of the Income-tax Act. The arrangement satisfied the statutory concept of amalgamation under section 2(1B), and the Canadian law mechanism was treated as meeting the amalgamation requirement. Although the India-Canada DTAA would otherwise permit India to tax gains from alienation of the Indian shares, the domestic exemption applied because the transaction was not shown to attract capital gains tax in Canada, including under the Canadian anti-avoidance provision referenced. Case-Laws Income Tax Mon, 19 Sep 1994 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=175335