The ATAD switchover rule is meant to prevent:
ADouble non-taxation
BTransfer of shares
CCurrency losses
DLate return filing
Answer & Solution
Correct answer: A. Double non-taxation
The switchover rule exists to stop double non-taxation of income.
Keep practising Anti-avoidance Provisions
Browse all Anti-avoidance Provisions questions for CA Final, or explore more Taxation topics.
Related questions
Accounting substance over form shows economic reality, not just:Which BEPS tool is easy to create without moving assets, functions or personnel?Which asset type is described as the raw material of tax avoidance in BEPS planning?BEPS Action 12 deals with disclosure of what?Which payments do multinationals use to erode a higher-tax base?Base erosion and profit shifting involves moving profits from higher-tax to:For US CFC purposes, a US Shareholder owns at least what share of the foreign corporation?Under US rules, a foreign corporation is a CFC if more than what share is owned by US Shar