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Impact of the Flipkart–Walmart landmark judgment on FII/FDI and startup investment climate
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....mpact of the Flipkart–Walmart landmark judgment on FII/FDI and startup investment climate<br> Query (Issue) Started By: - Fahiyaz Ahmmed Dated:- 23-1-2026 Last Reply Date:- 23-1-2026 Income Tax<br>Got 2 Replies<br>Income Tax<br>Dear Experts, While the Supreme Court's judgment in the Flipkart-Walmart deal is legally correct under DTAA and GAAR principles, what could be its broader impact on ....
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....FII and FDI inflows, especially in loss-making but high-growth startups where investments are based on future valuation rather than current profits? As India positions itself as the world's third-largest economy, but with relatively low per-capita income and currency pressure against the US dollar, does such a strict interpretation risk creating a bottleneck for foreign investment, employment gene....
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....ration, and GDP growth? What liberal policy or legal reforms can the government consider to balance revenue protection with the need to attract long-term FII/FDI, and what remedial steps should startups adopt to remain attractive to global investors post this landmark judgment? Reply By Sadanand Bulbule: The Reply: The Supreme Court's interpretation is legally correct and aligned with global ant....
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....i-abuse norms. However, without clear policy guidance and prospective certainty, such strict interpretation risks increasing the cost of capital, dampening FII/FDI sentiment-especially for high-growth startups-and creating uncertainty in investment flows and economic growth. A balanced approach through clear tax rules, substance-based incentives, and modernised tax treaties is essential to protect....
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.... revenue while sustaining investor confidence, jobs, and long-term growth. Reply By Fahiyaz Ahmmed: The Reply: Thank you sir your valuable reply <br> Discussion Forum - Knowledge Sharing ....