'Apply GAAR provisions intelligently'

The provisions of General Anti Tax Avoidance Rules (GAAR) should be ‘intelligently’ applied, said Expert Committee Chairman Parthasarathi Shome, after submitting the draft report to finance ministry.

“Some times there are areas of subjectivity so you limit them, truncate them and define them to the extend feasible,” Shome said. “We have to be internationally comparable in benchmarking various international tax mechanism. Even in tax administration, we have to become internationally comparable,” Shome added.