Lok Sabha was adjourned for the day shortly after noon on Friday after passage of two bills, including the one which proposes to end a controversial retrospective tax policy, amid protests by Opposition members over Pegasus and other issues.
As the House convened for the day at 11 am, Speaker Om Birla took up the Question Hour. However, the members resorted to sloganeering over Pegasus snooping controversy and farm laws.
As the protests continued, the Speaker urged the agitating members to go back to their seats.
The proceedings lasted for around 15 minutes after which Birla adjourned the House till noon.
When the House resumed at noon, Rajendra Agrawal, who was in the chair, allowed discussions on 'The Taxation Laws (Amendment) Bill, 2021', which proposed amendments to the Income Tax and Finance Act 2012 to make it clear that no tax demand will be raised for any indirect transfer of Indian assets if the transaction was undertaken prior to May 28, 2012.
After a brief statement by Finance Minister Nirmala Sitharaman and clause-wise consideration of the bill, it was passed by voice vote.
When the 'The Taxation Laws (Amendment) Bill, 2021' would be passed by Rajya Sabha too, all tax demands made on companies like Cairn Energy and Vodafone using a 2012 legislation on indirect transfer of Indian assets prior to May 28, 2012 will be withdrawn.
Sitharaman said in 2014, the then Finance Minister Arun Jaitley had made a commitment to set up a high-powered committee to look into the provisions of the 2012 law as the NDA government did not believe in retrospective taxes.
The finance minister said once the lawsuits were settled in September and December 2020, the government had started consultations with various stakeholders, including the Law Ministry.
Similarly, another bill 'The Central Universities (Amendment) Bill, 2021', to set up a central university in Ladakh was passed by the House following a brief statement by Education Minister Dharmendra Pradhan.
After the two bills were passed, the chair announced the adjournment of the House for the day.
Lok Sabha will now resume on Monday after the weekend break.
