---

International double taxation: Interpretation in the Indian context and general mitigation Measures

---

Original Article

Author Details : Vikram Karuna*

Volume : 11, Issue : 1, Year : 2024

Article Page : 41-45

https://doi.org/10.18231/j.jmra.2024.008

Suggest article by email

Get Permission

---

Abstract

International Double Taxation poses a complex challenge with diverse interpretations, especially in the Indian context. This paper investigates the nuances of double taxation, focusing on legal principles, double taxation avoidance agreements (DTAAs), and their implications for residents and permanent establishments. It analyzes India's engagement in double taxation treaties, considering monistic and dualistic principles, legislative processes, and recent judicial developments. Case studies from French and Indian courts offer insights into treaty interpretation. The paper examines relief methods such as Exemption, Credit, Tax-sparing, and Expense Deduction, emphasizing their application within Indian tax treaties. Notably, Permanent Establishment (PE) significance in international taxation is explored through relevant case law. Conclusively, the paper underscores the importance of addressing international double taxation in the globalized era. It argues that while various relief methods exist, the Exemption method is most effective in mitigating double taxation, contrasting with the partial relief provided by the Credit method. The choice of relief method varies across nations based on financial considerations. This comprehensive exploration contributes to understanding international double taxation in the Indian context, highlighting legal interpretations, treaty dynamics, and mitigation measures. It advocates for harmonizing global approaches to achieve more effective and equitable solutions in international taxation.

Keywords: International Double Taxation, Double Taxation Agreements (DTAs), Indian Jurisprudence, Permanent Establishment, Relief Methods

How to cite : Karuna V, International double taxation: Interpretation in the Indian context and general mitigation Measures. J Manag Res Anal 2024;11(1):41-45

This is an Open Access (OA) journal, and articles are distributed under the terms of the Creative Commons Attribution-NonCommercial-ShareAlike 4.0 License, which allows others to remix, tweak, and build upon the work non-commercially, as long as appropriate credit is given and the new creations are licensed under the identical terms.