India Makes An Ex-Post Facto Christmas Gift To Cyprus

Further to our newsflash dealing with notification dated 14 December 2016 (Rescission Notification) issued by the Central Board of Direct Taxes (CBDT) rescinding its earlier notification dated 1 November 2013 which had notified Cyprus as a 'non co-operative jurisdiction' (Notification), the CBDT has now issued an addendum to the Rescission Notification.

The effect of the addendum [Notification No. 119/2016/F. No. 500/02/2015-FT & TR-III] to the Rescission Notification is that the Notification would be rescinded retrospectively from its date of its issue i.e. 1 November 2013. There is one exception to the retrospective effect of rescission, i.e., any act or omission done in pursuance of the Notification prior to 14 December 2016, would not be impacted.