The much-awaited AP Shah Panel report on levy of Minimum Alternate Tax (MAT) on foreign institutional investors has not recommended any ‘relief’ to FIIs. This was stated by Shah after submitting the report to Finance Minister Arun Jaitley here on Friday.

“It’s a 66-page report is all that I can say. I don’t want to go into the specifics about the recommendations made,” Shah told reporters. Shah said that it was for the government to decide whether the report should be made public or not.

Revenue Secretary Shaktikanta Das said the report would not be made public for now.

Yet, according to reliable sources, the Shah panel was not in favour of levy of MAT on FIIs even for the period prior to April 1, 2015. This year’s Budget had specifically provided that FIIs would not be subjected to MAT for transactions undertaken post April 1.

Das said the government would in the next 10 days firm up its view on the stance it should take before the Supreme Court in the Castleton case. The Castleton case is slated to be heard by the apex court on August 4. Mauritius-based Castleton had approached the Supreme Court against a 2012 ruling by the Authority for Advance Rulings (AAR), which had said the company would have to pay MAT on capital gains arising from sale of shares.

‘Legacy issues’ The Secretary also said that there will be “other issues” that will be soon referred to the Shah panel. These are basically the “legacy issues” on taxation (referred to by Finance Minister Arun Jaitley), he said.

It is widely perceived that the “legacy issues” may relate to Vodafone-type disputes that have made life difficult for the Modi-led Government.

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