Why retrospective application of tax laws is bad for the economy

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Applying tax laws retrospectively is akin to time travel.  PHOTO | SHUTTERSTOCK

Applying tax laws retrospectively is akin to time travel. Time travel, real or unreal, allows one to travel into the past.

Applying tax laws retrospectively means past actions which were unrestricted in law now become restricted or taxes which were not levied at the material time become due and payable.

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Note: The results are not exact but very close to the actual.