dtaa – Parakram Legal

SALARY REIMBURSEMENT NOT SUBJECT TO WITHHOLDING TAX AS FEES FOR TECHNICAL SERVICES: RULES TRIBUNAL

In a recent ruling, the Income Tax Appellate Tribunal, Delhi (“Tribunal”) while differentiating the rulings in Centrica India Offshoreand Northern Operating Systems ruled that reimbursement of salaries of the ex-patriate employees of the Indian company to its foreign parent under a salary reimbursement agreement cannot be considered as Fees for Technical Services (“FTS”) and hence… Continue reading SALARY REIMBURSEMENT NOT SUBJECT TO WITHHOLDING TAX AS FEES FOR TECHNICAL SERVICES: RULES TRIBUNAL

Tribunal emphasizes importance of TRC: Upholds eligibility of Mauritius based CIV for tax treaty benefits

In a recent ruling, the Income Tax Appellate Tribunal, Delhi (“Tribunal”) recognized and upheld the importance of the Tax Residency Certificate (“TRC”) and held that a Mauritius-based Collective Investment Vehicle (“CIV”) registered as a Foreign Portfolio Investor (“FPI”) by the Securities and Exchange Board of India (“SEBI”) is entitled to the benefits provided under the… Continue reading Tribunal emphasizes importance of TRC: Upholds eligibility of Mauritius based CIV for tax treaty benefits