The capital market regulator’s recent decision to allow Indians to invest in global funds that deploy up to 50 per cent of their money in the country may fall foul of income tax laws on round tripping.
Tax authorities can term it as ‘textbook round tripping’ under General Anti-avoidance Rule (GAAR) framework, experts said.
The Securities and Exchanges Board of India’s (Sebi) decision last month essentially means that any India-based investor could invest in funds — be it a fore ..