Supreme Court Rules Tiger Global Must Pay Tax on Flipkart Stake Sale

The Indian Supreme Court ruled that Tiger Global must pay capital gains tax on its $1.6 billion Flipkart stake sale to Walmart, rejecting claims of tax exemption under the India-Mauritius treaty. The court found Tiger Global's Mauritius entities were conduits for tax avoidance, allowing Indian tax authorities to deny treaty benefits if sham structures are used. This landmark decision may affect foreign investments, private equity, and venture capital firms using offshore routes, raising concerns about treaty certainty and future inflows, though officials emphasize multiple factors influence investment decisions.