{"id":24193,"date":"2026-04-03T11:22:03","date_gmt":"2026-04-03T05:52:03","guid":{"rendered":"https:\/\/vajiramandravi.com\/current-affairs\/?p=24193"},"modified":"2026-04-03T12:47:04","modified_gmt":"2026-04-03T07:17:04","slug":"general-anti-avoidance-rule-gaar","status":"publish","type":"post","link":"https:\/\/vajiramandravi.com\/current-affairs\/general-anti-avoidance-rule-gaar\/","title":{"rendered":"General Anti Avoidance Rules"},"content":{"rendered":"<h2><b>General Anti Avoidance Rules Latest News<\/b><\/h2>\n<p><span style=\"font-weight: 400;\">India has amended income tax rules and has clarified that gains arising from assets acquired before April 1, 2017, will remain outside the ambit of general anti-avoidance rules (GAAR).<\/span><\/p>\n<h2><b>About General Anti Avoidance Rules<\/b><\/h2>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">It is an <\/span><b>anti-tax avoidance law<\/b><span style=\"font-weight: 400;\"> in India to <\/span><b>curb tax evasion and avoid tax leaks.<\/b><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">It came <\/span><b>into effect on 1st April 2017.<\/b><span style=\"font-weight: 400;\"> The GAAR provisions come <\/span><b>under the Income Tax Act, 1961.<\/b><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">It was recommended by the Parthasarathi<\/span><b> Shome Committee.<\/b><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">GAAR is a tool for <\/span><b>checking aggressive tax planning<\/b><span style=\"font-weight: 400;\">, especially those transactions or business arrangements that are entered into with the objective of avoiding tax.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Aim:<\/b><span style=\"font-weight: 400;\"> It is specifically aimed at <\/span><b>cutting revenue losses that happen to the government<\/b><span style=\"font-weight: 400;\"> due to aggressive tax avoidance measures practiced by companies.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">It is meant to apply to <\/span><b>transactions that are prima facie legal,<\/b><span style=\"font-weight: 400;\"> but result in tax reduction.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">GAAR applies only if the <\/span><b>tax benefit exceeds \u20b93 crore in a financial year.<\/b><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">GAAR provisions give wide powers to tax authorities to treat any arrangement or a transaction as an \u2018<\/span><b>impermissible avoidance arrangement\u2019<\/b><span style=\"font-weight: 400;\"> (IAA) and re-compute income and consequent tax implications.<\/span><\/li>\n<\/ul>\n<p><b>Source:<\/b> <strong><a href=\"https:\/\/economictimes.indiatimes.com\/et-front\/investments-prior-to-2017-safeguarded-against-gaar\/articleshow\/129962110.cms?utm_source=contentofinterest&amp;utm_medium=text&amp;utm_campaign=cppst\" target=\"_blank\" rel=\"nofollow noopener\">ET<\/a><\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"<p>General Anti Avoidance Rules is an anti-tax avoidance law in India to curb tax evasion and avoid tax leaks. Read more about General Anti Avoidance Rules, Aim, Latest News.<\/p>\n","protected":false},"author":5,"featured_media":24194,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[1],"tags":[6575],"class_list":{"0":"post-24193","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-upsc-prelims-current-affairs","8":"tag-general-anti-avoidance-rules","9":"no-featured-image-padding"},"acf":[],"_links":{"self":[{"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/posts\/24193","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/users\/5"}],"replies":[{"embeddable":true,"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/comments?post=24193"}],"version-history":[{"count":2,"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/posts\/24193\/revisions"}],"predecessor-version":[{"id":96372,"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/posts\/24193\/revisions\/96372"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/media\/24194"}],"wp:attachment":[{"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/media?parent=24193"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/categories?post=24193"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/tags?post=24193"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}