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SSC Selection Post 2023 PYQ — Question 36

SSC Selection Post - Higher Secondary Level 2023 - 27 June 2023 - Shift 3 • General Awareness • Q36

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The Taxation Laws (Amendment) Act, 2021, amends the Income Tax Act of _______.

 

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Correct answer: A

Explanation

The correct answer is Option 1 i.e. 1961.

  • The Taxation Laws (Amendment) Act, 2021, amends the Income-tax Act, 1961.
  • The act specifically amends provisions related to retrospective taxation introduced in 2012.
  • It nullifies retrospective tax demands on indirect transfer of assets before May 28, 2012, particularly on the sale of shares of foreign companies having underlying Indian assets.
  • Retrospective tax demands refer to taxes imposed on transactions or income from past years. It creates an additional liability on the taxpayers.