https://www.taxtmi.com/caselaws?id=198494 A composite shareholding arrangement through a wholly owned French subsidiary was treated as a pre-ordained scheme to transfer the underlying Indian assets and controlling interest, rather than a mere offshore share sale. On that purposive construction, Article 14(5) of the Indo-French tax treaty was held applicable and the gain was taxable in India. The objection that the arrangement was a prima facie tax-avoidance arrangement under the proviso to section 245R(2) was rejected, and the ruling favoured the Revenue. en-us Mon, 28 Nov 2011 00:00:00 +0530 Thu, 01 Feb 2018 18:58:38 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=198494 A composite shareholding arrangement through a wholly owned French subsidiary was treated as a pre-ordained scheme to transfer the underlying Indian assets and controlling interest, rather than a mere offshore share sale. On that purposive construction, Article 14(5) of the Indo-French tax treaty was held applicable and the gain was taxable in India. The objection that the arrangement was a prima facie tax-avoidance arrangement under the proviso to section 245R(2) was rejected, and the ruling favoured the Revenue. Case-Laws Income Tax Mon, 28 Nov 2011 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=198494