GENPACT INDIA PRIVATE LIMITED vs DEPUTY COMMISSIONER OF INCOME TAX

The Supreme Court addressed the interpretation of Section 115QA of the Income Tax Act, 1961, concerning the taxation of distributed income on buy-back of shares. The Court held that the tax liability arises on the buy-back of shares, and the definition of 'buy-back' was clarified to include compliance with any relevant company law. The appeal was dismissed, affirming the High Court's decision that the appellant was liable to pay additional income tax on the distributed income from the buy-back of shares.