Dear Pranabda, Save India’s Honour & Withdraw GAAR & Vodafone Law
Noted economist Bibek Debroy argues that GAAR and the Vodafone retrospective amendments send a “perverse signal” and are a “terrible” idea. He says the proposals create great uncertainty, subjectivity and non-transparency which does not auger well for India as an investment destination. He urges the Finance Minister to admit his mistake and do a honourable strategic retreat before it is too late
Close on the heels of eminent senior advocate Harish Salve‘s passionate attack on the Vodafone retrospective amendments and General Anti-Avoidance Rules (GAAR), noted economist Bibek Debroy has also torn into the Government’s proposal to nullify the Vodafone verdict and implement GAAR.
In a short but succinct article, Bibek Debroy gives persuasive reasons for his suggestion. With regard to GAAR, Debroy points out that the time is not opportune for GAAR. There is already a severe dent in investor confidence owing to the state of the economy and the adverse balance of payments and GAAR will create great uncertainty, subjectivity and non-transparency.