319 results found

Recently, India and Cyprus have signed a revised agreement for the avoidance of double taxation and fiscal evasion ("Revised Treaty").

The arm's length principle is the international standard for determining the taxability of profits resulting from transactions between related entities.

PE exclusion clause in India-Singapore treaty is more restrictive than corresponding clauses in Indian treaties with the USA and Canada.

Supreme Court in the case of Engineering Analysis Centre of Excellence Private Limited v. CIT holds that payments made to non-resident computer software manufacturers/ suppliers for the resale/use of the software not taxable as Royalty

The AAR, in the recent judgement of Banca Sella SpA, held that capital gains arising on amalgamation of a non-resident company, with its non-resident group entity would not attract capital gains tax in India...

Determination of market value in an inter-unit transfer in the context of profit-linked incentive deduction - end to disputes or beginning of new one?

In the Budget of 2024, the Indian Government abolished buy-back distribution tax ("BBT"), and introduced a new regime for taxing share buy-backs ("The New Regime"). In the backdrop of the abolition of dividend.

An engineering, procurement and construction contract in India is taxed on the strength of decisions taken before the award: how the scope is divided, which entity signs, where title to equipment passes, and what the employer is told to withhold.

When one thinks of the applicability of the Transfer Pricing (‘TP') provisions of the Income-tax Act, 1961 (‘Act'), the first thing that comes to mind is a situation where an Indian company...

The Base Erosion and Profit Shifting project, initiated by the OECD in 2013, aimed to combat tax avoidance strategies employed by multinational enterprises and promote equitable international tax practices.

The High Court of Judicature at Madras, vide its judgment dated 12.04.2016, has upheld the Constitutional validity of section 94A(1) of the Income tax Act, 1961...

India and Singapore sign a protocol amending the agreement for avoidance of double taxation with Singapore.

In December 2020, an arbitral tribunal ordered India to pay Cairn Energy about USD 1.2 billion, plus interest and costs, for a tax demand raised under a retrospective amendment. Three months earlier, Vodafone had won a similar case. Both claims succeeded because the investment treaties under which they were brought did not exclude tax. Under the treaties India signs today, neither claim could have been brought at all.

Black Money Act covers residents with undisclosed foreign assets and income and non-residents who have invested Indian-sourced income in offshore assets.

The characterization of payments made for shrinkwrapped software has been a controversial issue in India, resulting in a large number of litigations.

Beneficial provisions under a tax treaty will apply irrespective of amendment in the Income Tax Act.

India’s General Anti-Avoidance Rule (“GAAR”) framework has long rested on a critical assurance to investors: investments made prior to 1 April 2017 would remain outside the scope of GAAR scrutiny. For nearly a decade, this grandfathering protection was widely understood to extend to gains realised on the eventual transfer of such investments, irrespective of when the exit occurred.

The second APA Annual Report (2017-18) issued by the Central Board of Direct Tax (CBDT) on 31 August 2018, provides key facts and statistical details.