General Anti-Avoidance The Rules (GAAR) will not come into effect until fiscal year 2016-17. This was decided by the committee Shome, established by the Indian government to review the new legislation governing the financial services sector.
The objective of the GAAR is to prevent any attempt at evasion. Except that it is considered a double-edged sword. For the Indian tax could be used and thus ignore the precedence of Conventions.
However, the Committee believes that investors Shome, giving as a place of residence in Mauritius will not have to explain about the authenticity of the information submitted in case the Indian government invoked the GAAR to treat cases on.