Skip to main content
Taxes

Grandfather clause

When a law is modified or a tax treaty is formed or changed, there is a temporary clause that preserves any existing legislation. This clause ensures that the current legislation remains valid until the new modifications or treaty come into effect. This is important to maintain continuity and avoid any confusion or disruption in the application of laws and treaties. It allows for a smooth transition without any interruption in the legal framework. This temporary clause serves as a safeguard to prevent any potential gaps or conflicts in the application of laws and treaties. So, it essentially acts as a bridge between the old and new legislation, providing a buffer period for adjustment.

Related terms

Abuse of law

Understand the meaning and definition of Abuse of law in the context of stock market, trading, and investments.

MORE
Accelerated depreciation

Understand the meaning and definition of Accelerated depreciation in the context of stock market, trading, and investments.

MORE
Branch tax

Understand the meaning and definition of Branch tax in the context of stock market, trading, and investments.

MORE
Management expenses

Understand the meaning and definition of Management expenses in the context of stock market, trading, and investments.

MORE
Fixed income

Understand the meaning and definition of Fixed income in the context of stock market, trading, and investments.

MORE
Accounting basis

Understand the meaning and definition of Accounting basis in the context of stock market, trading, and investments.

MORE

Open Free Demat Account!

Join our 3.8 Cr+ happy customers

+91
Explore other categories
Enjoy Zero Brokerage on Equity Delivery
10 Cr+DOWNLOADS

Enjoy Zero Brokerage On Stock Investments

Get the link to download the App

Scan this QR code to download the app
Get it on Google PlayDownload on the App Store