Book Description

This book is India's first 'ready reckoner' with a specific focus on international taxation & taxation of cross-border transactions. It covers the entire spectrum of topics, which are as follows: • Basic provisions of the scheme of taxation in India • Residence in India • Role of Double Taxation Avoidance Agreements (DTAA) • Interaction of DTAA with the Income-tax Act • How to read a DTAA? • How to determine eligibility for DTAA? • How to resolve the conflict between a DTAA & Income-tax Act? It is an essential handbook for anyone who is dealing with cross-border transactions, including: • Payments made to non-residents • Transactions with non-residents • Digital transactions • Withholding tax obligation obligations of residents The Present Publication is the 1st Edition and has been amended by the Finance Act 2023. This book has been authored by CA Daksha Baxi & Adv. Surajkumar Shetty with the following noteworthy features: • [Exhaustive Coverage] of the tax implications on cross-border transactions • [Evaluating the Taxability] using the following: o Income-tax Act o Double Taxation Avoidance Agreement o Reference to Rules, Forms, Circulars, etc. o Reference to Case Laws • [Authors' Notes] are given for the following: o How should an advisor approach the transaction? o What investigations should be made to apply the law and principles of the Income-tax Act & Double Taxation Avoidance Agreement? • [Conceptual Analysis in Simplified Language with Examples & Case Laws] for the following 'noted' topics, among others: o Place of Effective Management o Permanent Establishment o Business Connection o Foreign Portfolio Investors o Investment Funds & their Investors § Alternative Investment Funds (AIFs) § Infrastructure Investment Funds (InvITs) § Real Estate Investment Trusts (REITs) § Securitisation Trust • [Covering Provisions relating to Litigation Proceedings] under the following: o Income-tax Act o Mutual Agreement Procedure (MAP) under the Double Taxation Avoidance Agreement o Authority for Advance Ruling (AAR) Process o Equalisation Levy o Transfer Pricing Provisions o General Anti Avoidance Rules (GAAR) o Special Provisions for International Financial Services Centres (IFSC) • [Illustrations/Examples, Practical & Comprehensive Case Studies] are given to provide insights into the finer nuances of cross-border transactions The detailed contents of the book are as follows: • Tax System for Non-Residents in India – An Overview • Tax Treaties • Setting Up a Business in India • Classification of Income • Determining Eligibility to Claim Benefits of DTAA • Taxation of Rental Income • Taxation of Business Income • Taxation of Dividend Income • Taxation of Interest Income • Taxation of Royalty Income • Taxation of Income from Fees for Technical Services • Taxation of Capital Gains • Taxation of Employment Income • Taxation of Non-Resident Indian • Taxation of Foreign Portfolio Investors • Taxation of AIFs, REITs, InvITs, Securitisation Trust • Transactions Attracting Transfer Pricing Regulations • Business Reorganisations • Discontinuance of Business and Dissolution of Indian Company • Foreign Tax Credit • Making Payments to NRs & Obtaining Lower Withholding Certificate • Assessments, Appeals and Dispute Resolution • General Anti-Avoidance Rules • Miscellaneous • Case Study to Determine Taxability of NR, under the IT Act & DTAA