National Civil Aviation Policy: Exciting Times Ahead?

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By: Mansi Singh

The much awaited Civil Aviation Policy (“the Policy”) obtained cabinet clearance on 15th June 2016. This is the first time since independence that an integrated Civil Aviation Policy has been brought out by the Ministry of Civil Aviation (“MoCA”) of the Government of India.

India’s galloping economy and the burgeoning middle class have helped to make it one of the fastest growing aviation markets in the world. The Policy aims at providing an ecosystem for the harmonized growth of various aviation subsectors, i.e. airlines, airports, cargo, maintenance, repair and overhaul (“MRO”), skill development, etc.

India Policy Alert: Consolidated FDI Policy

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By: Riya Dutta

India continues to grow faster than its large emerging market peers. The World Bank in its report on Global Economic Prospects has projected a growth rate of 7.6-7.7% for India for the fiscal year 2016-2017 to fiscal year 2018-2019[1].

Foreign Direct Investment (FDI) in India is permitted under the automatic route and the approval route. Under the automatic route, the foreign investor is permitted to invest up to 100% in an Indian company without any prior approvals. Investment under the approval route requires the prior approval of the Foreign Investment Promotion Board (FIPB). Sectoral caps may also apply in such cases.

The Government of India released the Consolidated FDI Policy (“Policy”) last week, incorporating all policy changes effected over the last one year. The Policy has been made simpler, more investor friendly and more precise in order to facilitate the ease of

Amendment to India-Mauritius Double Taxation Avoidance Agreement

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By: Aditi Rani

The protocol for amendment of the India-Mauritius Double Taxation Avoidance Agreement (“Protocol”) was signed between India and Mauritius on May 10, 2016.[1]

Dating way back to 1983, the India – Mauritius Double Taxation Avoidance Agreement (“India-Mauritius DTAA”) has been instrumental in Mauritius bringing in foreign direct investment (FDI) close to USD 94 billion in the last 5 years. This is almost 1/3rd of India’s total FDI flowing in from this tiny island country in the period in question, pipping past larger economies such as the USA, United Kingdom and Japan. Largely, this rode on the exemption on capital gains tax on sale of shares of an Indian