bricslawjournalBRICS Law JournalЮридический журнал БРИКС2409-90582412-2343Publishing House V.Ема10.21684/2412-2343-2021-8-1-116-134bricslawjournal-453Research ArticleArticlesСтатьиEmerging Trends in Cross-Border Mergers and Their Tax Implications in India: A Critical AppraisalTiwariA.

Avin Tiwari – UGC SRF (Law), Ph.D. Scholar, Rajiv Gandhi School of Intellectual Property Law

Kharagpur, West Bengal, 721302

avintiwari2016@gmail.comShuklaG.

Gaurav Shukla – Lecturer in Law, School of Law and Social Sciences (SoLaSS)

Suva, 1168

gaurav.gauravshukla@gmail.comIndian Institute of Technology KharagpurIndiaUniversity of the South PacificFiji20211104202181116134Copyright © Tiwari A., Shukla G., 20212021Tiwari A., Shukla G.Tiwari A., Shukla G.Данная работа распространяется под лицензией Creative Commons Attribution 4.0.This work is licensed under a Creative Commons Attribution 4.0 License.https://www.bricslawjournal.com/jour/article/view/453

The Indian economy has seen steady and sustainable growth over the past decade, even though other countries have been cash-strapped and suffering from stagnation. Most of this development is due to the inflow of foreign direct investment (FDI) into India through cross-border mergers and acquisitions (M&A) and the unparalleled rise in the size and number of cross-border M&A in India with a favourable market climate for such trade. As a business strategy, cross-border M&As in India are rife with many legal complexities and issues. This paper documents the steady growth of cross-border M&A activity in India over the years and presents a comprehensive depiction of cross-border M&As, what the applicable laws are, what the legal issues and complexities involved are, and finally how they can be offset. The paper highlights the tax implications and issues involved in a cross-border M&A and how far the Income Tax Act, 1961 is attuned with the corporate laws in force to promote cross-border M&As in India. The paper concludes with a broader observation that cross-border M&As bring massive economic benefits and global stature to a growing economic superpower like India. For this reason, the business and legal environment should be made more conducive to cross-border M&A activity.

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The authors declare that there are no conflicts of interest present.