Yearly Rewind: Tax 2025

The year 2025 ushered in significant strides across the Indian legal regime, with landmark judgements on Direct and Indirect tax issues paired with major regulatory changes to simplify compliance and support ease of doing business including under Indian foreign exchange management laws. Building on previous year’s Tax Yearly Rewind, this edition provides a detailed review of significant judgments and regulatory updates impacting taxation and cross-border investments. It aims to offer business leaders and investors practical insights into the implications of key legal developments.

You can download the full Tax Rewind 2025 in the PDF version below:

To review individual write-ups dealt with in the Tax Rewind 2025, please click on the links below:

DIRECT TAX 

1. Proportionate Reduction as ‘Transfer’: Principal Commissioner of Income Tax v. Jupiter Capital
2. Substance Over Form While Determining Permanent Establishment: Hyatt International Southwest Asia Ltd. v.  Additional Director of Income Tax
3. Transfer Pricing and Characterization of an Entity: Netflix Entertainment Services India LLP v. Deputy Commissioner of Income Tax 
4. Lease Aircrafts and Their Taxability in India: Sunflower Aircraft Leasing Limited V. Assistant Commissioner of Income Tax 
5. Determining Reimbursement or FTS for Secondment of Employees: Toshiba Corporation v. DCIT
6. PE Loss Set Off Against ECB Interest Allowed: Abu Dhabi Commercial Bank v. DCIT
7. Anti-fragmentation Rule and Business Activities of a Foreign Enterprise in India: RGA Services International Reinsurance Company v. DCIT 

INDIRECT TAX 

1. GST 2.0 Reforms
2. Issuance of Summons Not Considered ‘Initiation of Proceedings’: Armour security (India) Ltd. v. Commissioner, CGST
3. Rectification Of Errors In Returns: CBIC v. Aberdare Technologies
4. Doctrine Of Mutuality and GST: Indian Medical Association v. Union of India