Parliament has the power and jurisdiction to clarify, enact law or bring amendments to a law with retrospective effect to remove the basis or defects in a judgment, say legal experts. Under the proposed amendment to the Income Tax Act announced by Finance Minister Pranab Mukherjee in the budget, to come into effect from April 1, 1962, all persons, resident or non-resident, having business connection in India will have to incur...

Finance Minister Pranab Mukherjee maintained on Sunday that the budgetary proposal to amend the Income Tax Act with retrospective effect from 1962 to assert the government's right to levy tax on merger and acquisition (M&A) deals involving overseas companies with business assets in India is not Vodafone “case specific,” but an enabling provision to protect the fiscal interests of the country and avert the chances of a crisis. Faced with all-round...

-The Times of India A Delhi court has charged Nestle India for violating the law in advertisements and labelling of its infant food products.  The order, which was in response to a 17-year-old complaint, said that Nestle India had violated the Infant Milk Substitutes Feeding Bottles, and Infant Foods (Regulation of Production, Supply and Distribution) Act.  Reacting to the order, the complainant Dr Arun Gupta, representing the Association for Consumers Action on Safety...

West Bengal: The murder of two CPI(M) leaders in Bardhaman district points to an increase in political violence in the State. THE brutal murder of Pradip Tah, a former legislator belonging to the Communist Party of India (Marxist), or the CPI(M), and Kamal Gayen, another senior leader of the party, in broad daylight, allegedly by Trinamool Congress supporters, in West Bengal's Bardhaman district on February 22 once again points to an...

The government introduced a retrospective clarification to the Income-Tax (I-T) Act, 1961, virtually amending the law to ensure that cross-border transactions such as the $11.08 billion (around Rs55,735 crore today) Vodafone-Hutchison deal are taxable. The Supreme Court had ruled this deal as not being taxable in India. The amendment becomes crucial because a review petition by the government on this case is pending before the Supreme Court, which might now have...