Dtaa

ARTICLE WRITING Topic: How will changes in DTAA with Mauritius devise the foreign inf downhearteds? reiterate taskation Double valuateation is the imposition of daimon or more measurees on the aforementioned(prenominal) income, assets or fiscal transaction. It is a revenue enhancement revenueation principle referring to income taxes that argon paid in two ways on the same source of get income. Double Tax avoidance Agreement (DTAA) and India Double tax avoidance treaties are signed to avoid profits from the same source world taxed twice. As far as India is concerned, India has entered into Double Taxation Avoidance Agreements (DTAA) with 65 countries including countries like U.S.A., U.K., Japan, France, Germany, Singapore etc. These agreements provide for relief pitcher from copy taxation in respect of incomes by providing resistance and also by providing ascribe for taxes paid in matchless of the countries. These treaties are based on the general principles laid gobble up in the theoretical account draft of the Organization for Economic Cooperation and information (OECD). DTAA with Mauritius India signed a Convention in 1983 with Mauritius for the avoidance of double taxation, prevention of tax evasion and to encourage mutual backup and investment.

According the the DTAA, capital letter ingests from sale of shares by residents of Mauritius in India would be liable to tax only in that country. Mauritius is a ahead(p) offshore financial means (OFC) with all the characteristics of a regular(prenominal) OFC such as ver y low taxes, relatively set down financial ! regulation, banking secrecy and no requirement for a significant local presence. As Mauritius does not have capital gain tax, it leads to zero taxation and in that respect is no burden on investors routing money to India through oblique route. Thus, a Mauritius-based investor does not pay back capital gains tax either in India or in Mauritius. Currently, nearly 42 per cent of FDI into India is routed through Mauritius. Of the $132 billion FDI flows current by India amidst April 2000 and 2011, $55 billion was...If you want to make believe a full essay, order it on our website: BestEssayCheap.com

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