To address investor concerns over taxation issues, the Finance Ministry has proposed a monetary limit for invoking the controversial General Anti-Tax Avoidance Rules, GAAR in its draft guidelines issued late last night.

Although the draft did not specify the monetary limit, it said that those deals which are over a prescribed limit should be covered by GAAR provisions.

The guidelines further said that GAAR provisions would be invoked only in cases where FIIs choose to take the benefit of double tax avoidance treaties.

The provisions, it said will apply only to the income arising to taxpayers on or after April 1, 2013. The draft guidelines also proposed setting up a three-member Approving Panel to decide whether a particular case would attract the provisions of the GAAR.