1

Albania 355 ITR 80

01.04.2014 A. Y. 2015-16

10 @

10 @

10 @

10 @

Agreement between Republic of India and Republic of Albania was notified by way of Press Release dated 8 July 2013.

2

Armenia 271 ITR 72

01.04.2005 A. Y. 2006-07

10 @

10 @

10 @

10 @

Interest derived and beneficially owned by following entities is exempt (a) the Government, a political sub-division o r a local authority; or (b) RBI and the Central Bank of Armenia or any other institutions as may be agreed upon.

For Limitation Of Benefits (‘LOB’) Clause – Refer Note 6.

3

Australia 194 ITR 241 Modified via Protocol 358 ITR 15

01.04.1992 A.Y. 1993-94

15 @

15 @

[See Note 2]

[See Note 2]

Protocol amends Article 3 (Definitions), Article 5 (Permanent Establishment), Article 7 (Business Profits), Article 24A (Non-Discrimination), Article 26 (Exchange of Information) and Article 26A (Assistance in Collection of Taxes).

4

Austria 251 ITR 97

01.04.2002 A.Y. 2003-04

10 @

10 @

10 @

10 @

—

5

Bangladesh 198 ITR 99 Modified via Protocol 355 ITR 97

01.04.1992 A.Y. 1993-94

10 @

15 @

10 @

10 @

No separate provision

10% tax on dividends if at least 10% of the capital is owned by Company; in other cases 15%.

Protocol amends Article 21 (Students) and Article 28 (Exchange of Information).

6

Belarus 233 ITR 4

01.04.1999 A.Y. 2000-01

10 @

15 @

10 @

15 @

15 @

10% tax on dividends if at least 25% of the capital is directly and beneficially owned by a company; in other cases 15%.

7

Belgium 228 ITR 79 247 ITR 39

01.04.1998 A.Y. 1999-2000

15 @

15 @

10 @

10 @

10 @

10% tax on interest if loan granted by bank, other cases 15%. 10% tax on royalties and technical services fees w.e.f. 1.4.1998. Modification also restricts scope of royalties.

8

Bhutan

Notification No. 42/2014 F.No. 503/4/2004-FTD-II dated 5 September 2014

01.04.2015 A.Y. 2016-17

10 @

10 @

10 @

10 @

Interest derived and beneficially owned by following entities is exempt (a) the Government, a political sub-division or a local authority of the other Contracting state; or (b) (i) in case of India, the RBI and the Export-Import Bank of India or (ii) in case of Bhutan, The Royal Monetary Authority and Bhutan Development Bank Limited (c) any other institution as may be agreed upon from time to time between the competent authorities of the Contracting states through exchange of letters

For Limitation Of Benefits (‘LOB’) Clause – Refer Note 5.

9

Botswana 302 ITR 277

01.04.2009 A.Y. 2010-11

7.5 @

10 @

10 @

10 @

10 @

7.5% tax on dividends if at least 25% of the capital is owned by Company; in other cases 10%.

Interest derived and beneficially owned by following entities is exempt

(a) the Government, a political sub-division or a local authority; or

(b) Reserve Bank of India and the Central Bank of Botswana or any other bank or Governmental financial institutions or agencies that may be mutually agreed.

10

Brazil 195 ITR 73

01.04.1993 A.Y. 1994-1995

15 @

15 @

25 @

15 @

25 @

15 @

Fees for Technical Services are covered under Royalty article as per protocol

Royalties arising from use or right to use trademarks taxable at 25%, in other cases tax rate is 15%.

11

Bulgaria 220 ITR 30

01.04.1996 A.Y. 1997-98

15 @

15 @

15 @

20 @

20 @

Royalties relating to Copyrights etc. taxable at 15%, in all other cases 20@

12

Canada 229 ITR 44

01.04.1998 A.Y. 1999-2000

15 @

25 @

15 @

[See Note 2]

[See Note 2]

15% tax on dividends if at least 10% of capital is owned by a Co., in other cases 25%

13

China 214 ITR 160

01.04.1995 A.Y. 1996-97

10 @

10 @

10 @

10 @

—

14

Colombia

Notification No. 44/2014 F.No. 501/3/99-FTD-II dated 23 September 2014

01.04.2015 A.Y. 2016-17

5 @

10 @

10 @

10 @

Interest derived and beneficially owned by following entities is exempt (a) the Government, a political sub-division or a local or territorial authority of the other Contracting state; or (b) (i) in case of India, the RBI and the Export-Import Bank of India or (ii) in the case of Colombia, the Banco de la Republica and the Bancoldex (c) any other institution as may be agreed upon from time to time between the competent authorities of the contracting states through exchange of letters.

For Limitation Of Benefits (‘LOB’) Clause – Refer Note 5.

15

Croatia

Notification No. 24/2015 F.No. 501/09/1995-FTD-I dated 17 March 2015

01.04.2016 A.Y. 2017-2018

5 @

15 @

10 @

10 @

10 @

5% tax on dividends if at least 10% of the capital is directly owned by the Company, in other cases 15%. Interest derived and beneficially owned by following entities is exempt (i) the Government, a political sub-division or a local authority of the other Contracting state; or (ii) The Central Bank of the other Contracting state or any other bank or governmental financial institutions / agencies that may be mutually agreed upon between the two Contracting state. As per protocol – notwithstanding the provisions of the agreement, a company resident in the Contracting state in which persons who are not residents of that state hold, directly or indirectly, a participation of more than 50% of the share capital, shall not be entitled to relieves provided by the agreement in respect of dividends, interest, royalties arising in the other Contracting state. This provision shall not apply where the said Company is engaged in substantive business operations, other than mere holding of shares or property, in the Contracting state of which it is a resident.

16

Cyprus 218 ITR 70

01.04.1993 A.Y. 1994-95

10 @

15 @

10 @

15 @

10 / 15* @

10% tax on dividends if at least 10% of the capital is owned by Company; in other cases 15%.

* Technical Fees are taxable at 10% under Article 13, Fees for included services taxable at 15% under Article 12

17

Czech Republic 241 ITR 90

01.04.2000 A.Y. 2001-02

10 @

10 @

10 @

10 @

—

18

Denmark 180 ITR 1

01.04.1990 A.Y. 1991-92

15 @

25 @

10 +

15 +

20 @

20 @

15% tax on dividends if at least 25% of the capital is owned by Company; in other cases 25%. Interest is taxable at 10% on loan from bank; in other cases it is taxable at 15%.

19

Estonia 346 ITR 143

01.04.2013 A.Y 2014-15

10 @

10 @

10 @

10@

Interest derived and beneficially owned by following entities is exempt

1. the Government, a political sub-division or a local authority of the other contracting state
2. (i) in case of India, the Reserve Bank of India and
   (ii) in case of Estonia, the Bank of Estonia
3. any other institution as may be agreed upon from time to time between the competent authorities of the contracting states

For LOB Clause – Refer Note 5.

20

Ethiopia 353 ITR 78

01.04.2013 A.Y. 2014-15

7.5 @

10 @

10 @

10 @

Interest derived and beneficially owned by following entities is exempt

1. The Government, a political sub-division or a local authority of the other contracting state
2. (i) in case of India, the Reserve Bank of India and
   (ii) in case of Ethiopia, the National Bank of Ethiopia
3. Any other institution as may be agreed upon from time to time between the competent authorities of the contracting states

For LOB Clause – Refer Note 5

21

Fiji

Notification No.35/2014/F.No 503/11/2005-FTD-II dated 12 August 2014

01.04.2015 A.Y. 2016-17

5 @

10 @

10 @

10 @

Interest derived and beneficially owned by following entities is exempt

1. the Government, a political sub-division or a local authority of the other contracting state
2. (i) in case of India, the Reserve Bank of India, the Export-Import Bank of India, the National Housing Bank and
   (ii) in case of Fiji,the Reserve Bank of Fiji, the Fiji Development Bank
3. any other institution as may be agreed upon from time to time between the competent authorities of the Contracting states

For LOB Clause – Refer Note 5

22

Finland 324 ITR 1

01.04.2011 A.Y. 2012-13

10 @

10 @

10 @

10 @

1. Interest arising in India and paid to state of Finland, or a local authority or a statutory body thereof, Finnfund, Finn Vera Fund and other specified entities would be exempt from tax in India.
2. Interest arising in Finland and paid to Government of India, a political sub-division, local authority or statutory body thereof, RBI, NHB, EXIM Bank and other specified entities will be exempt from Finnish tax

For LOB Clause – Refer Note 6

23

French Republic 209 ITR 130 244 ITR 134

01.04.1995 A.Y. 1996-97

10 @

10 @

10 @

10 @

10% tax on dividend, interest, royalties and technical services fees w.e.f. 1-4-1997. Modification reflects the position in Protocol.

24

Georgia 341 ITR 1

01.04.2012 A.Y 2013-14

10 @

10 @

10 @

10 @

Interest will be exempt from tax if it is derived and beneficially owned by (a) In case of India, (i) the Government, a political sub-division or a local authority (ii) the Reserve Bank of India, the Export Import Bank of India, the National Housing Bank. (b) In case of Georgia, (i) the Government or local authority (ii) The National Bank of Georgia (c) any other institution government agencies, political administrative sub-divisions as agreed from time to time.

For LOB Clause – Refer Note 5

25

Germany (Federal Republic of Germany) 223 ITR 130

01.04.1997 A.Y. 1998-99

10 @

10 @

10 @

10 @

Treaty has some of the lowest withholding rates. It also effectively lowers from 29.10.1996, withholding rates of India’s Treaties with other OECD countries such as France, Netherlands, Norway, Spain, etc.

26

Greece 64 ITR 86

01.04.1963 A.Y. 1964-65

*

*

*

No separate provision

* Dividend, interest and royalty income is chargeable as per domestic law in source country only.

27

Hungary 274 ITR 74

01.04.2006 A.Y. 2007-08

10 @

10 @

10 @

10 @

Interest derived and beneficially owned by following entities is exempt

1. Government, political sub-division or local authority of other Contracting state,
2. Central Bank of other Contracting states
3. the Hungarian Exim Bank or a resident of Hungary if the interest is paid in respect of a loan made, guaranteed or insured or a credit extended guaranteed or insured by the Hungarian Bank,
4. Export Import Bank of India or a resident of India if the interest is paid in respect of a loan made, guaranteed or insured or a credit extended, guaranteed or insured by the Exim Bank
5. Any other bank or government financial institution that may be mutually agreed upon between the two contracting states.

28

Iceland 298 ITR 2

01.04.2008 A.Y 2009-10

10 @

10 @

10 @

10 @

Interest derived and beneficially owned by following entities is exempt

1. the Government, a political sub-division or a local authority
2. RBI, EXIM bank and NHB of India, Central Bank of Iceland and
3. any other institution as may be agreed upon.

For LOB Clause – Refer Note 6

29

Indonesia 171 ITR 27

01.04.1988 A.Y. 1989-90

10 @

15 @

10 @

15 @

No separate provision

10% tax on dividends if at least 25% of the capital is owned by Company; in other cases 15%.

30

Israel 222 ITR 10

1.6.96/1.4.94

10 @

10 @

10 @

10 @

For TDS on dividend, interest, royalties and technical service fees effective date is 1.6.1996, for taxes on Income and Capital effective date is 1.4.1994.

31

Ireland 254 ITR 245 255 ITR 95

01.04.2002 A.Y. 2003-04

10 @

10 @

10 @

10 @

—

32

Italy 220 ITR 3

01.04.1996 A.Y. 1997-98

15 @

25 @

15 +

20 @

20 @

15% tax on dividends if at least 10% of the capital is owned by Company; in other cases 25%.Protocol amending the DTAA with Italy has been signed on 13th December, 2005 and awaiting notification, pursuant to which the tax rates would change to 10% for Dividends, Interest, Royalties and Fees for Technical Services. Concepts of Service PE and conditions to treat Insurance PEs to be introduced.

33

Japan 182 ITR 380 245 ITR 15 284 ITR 64 345 ITR 91

01.04.1990 A.Y. 1991-92

10 @

10 @

10 @

10 @

10% rate is applicable with effect from 1 April 2007 vide Notification No. 186/2006 dated 19 July 2006.

Interest derived by following entities is exempt:

1. The Government, a political sub-division or a local authority of the other contracting state;
2. (i) in case of Japan, the Bank of Japan; Japan Bank for international Co-operation; the Japan International Co-operation Agency; such other financial institutions the capital of which is wholly owned by the Government of Japan as may be agreed upon from time to time between the governments of the two Contracting states;
   (ii) in case of India, the reserve Bank of India; the Export-Import Bank of India; such other financial institutions the capital of which is wholly owned by the Government of India as may be agreed upon from time to time between the governments of the two Contracting states and
3. By any resident of the other Contracting state with respect to Debt-claims guaranteed or indirectly financed (a) and (b) above.

34

Jordan 241 ITR 69

01.04.2000 A.Y. 2001-02

10 @

10 @

20 @

20 @

—

35

Kazakhstan 228 ITR 162

01.04.1998 A.Y. 1999-2000

10 @

10 @

10 @

10 @

—

36

Kenya 157 ITR 8

01.04.1984 A.Y. 1985-86

15 @

15 +

20 +

No separate provision

There is a specific clause for management and professional fees which is taxable income @ 17.5 %.

37

Korea (South) 165 ITR 191 PIB press release dated 6 May 2015

01.04.1986 A.Y. 1987-88

15 @

20 @

15 @

10 @

15 @

15 @

15% tax on dividend if at least 20% of the capital is owned by co.; in other cases 20%. For interest at 10% if received by bank or government, other cases it is 15%.

The Union Cabinet has given its approval for revising DTAA between India and Korea. The revised DTAA is awaited

38

Kuwait 295 ITR 44

01.04.2008 A.Y. 2009-10

10 @

10 @

10 @

10 @

Interest derived and beneficially owned by following entities is exempt

1. the Government, a political sub-division or a local authority
2. Central Banks of India and Kuwait and any other Government agency or financial institution as may be agreed upon.

For LOB Clause – Refer Note 6.

39

Kyrgyz Republic 248 ITR 218

01.04.2002 A.Y. 2003-04

10 @

10 @

15 @

15 @

Interest paid to government or government F.I. or Central Bank exempt. See protocol for other articles.

40

Latvia 363 ITR 177

01.04.2014 A.Y. 2015-16

10 @

10 @

10 @

10 @

Interest arising and beneficially owned by the following shall be exempt (a) The Government, a political sub-division or a local authority; (b)(i) in case of India, the RBI, EXIM Bank, the National Housing Bank (ii) In case of Latvia, the Bank of Latvia, the Mortgage and Land Bank of Lativa and the Latvian Guarantee Agency or (c) any other similar institution, as may be agreed upon from time to time between the competent authorities of the Contracting States through exchange of letters (d) a resident of India, if the interest is paid in respect of a loan made, guaranteed or insured or a credit extended, guaranteed or insured by the Government, a political sub-division or a local authority of India or by any of the bodies mentioned in (b)(i) or (c) or (e) a resident of Latvia, if the interest is paid in respect of a loan made, guaranteed or insured or a credit extended, guaranteed or insured by the Government or a local authority of Latvia or by any of the bodies mentioned in (b) (ii) or (c).

For LOB Clause – Refer Note 6

41

Libya 137 ITR 27

01.04.1983 A.Y. 1984-85

*

*

*

No separate provision

* Dividend, interest, royalty will be taxable as per domestic law of source country.

42

Lithuania 346 ITR 116

01.04.2013 A.Y 2014-15

*5 @

15 @

**10 @

10 @

10 @

*5% tax on dividends if at least 10% of the capital is owned by Company; in other cases 15%.

** Interest derived and beneficially owned by following entities is exempt

1. The Government, a political sub-division or a local authority
2. (i) in case of India, the Reserve Bank of India, the Export-Import Bank of India, the National Housing Bank and
   (ii) in case of Lithuania, the Bank of Lithuania
3. Any other financial institution wholly owned by the Government as agreed upon from time to time between the competent authorities of the Contracting states.

For LOB Clause – Refer Note 6

43

Luxembourg 318 ITR 9

01.4.2010 A.Y. 2011-12

10 @

10 @

10 @

10 @

Interest derived and beneficially owned by following entities exempt:

1. The Government, a political sub-division or a local authority of Luxembourg
2. In case of India, the RBI, EXIM and NHB
3. Any other institutions as may be agreed from time to time between the competent authorities of the Contracting States.

For LOB Clause – Refer Note 5

44

Malaysia 353 ITR 53

01.04.2013 A.Y. 2014-15

5 @

10 @

10 @

10 @

Interest derived and beneficially owned by following entities is exempt

(a) In case of Malaysia, Government of Malaysia; Government of the States; Bank Negara Malaysia, the local authorities, the statutory bodies wholly owned by the Government; Export-Import Bank of Malaysia Berhad (EXIM Bank); Bank Pembangunan Malaysia Berhad (Development Bank of Malaysia Berhad); Bank Perusahaan Kecil & Sederhana Malaysia Berhad (Small & Medium Enterprise Bank of Malaysia Berhad); and Malaysia Industrial Development Finance Berhad (b) In case of India, the Government, political sub-divisions, statutory bodies wholly owned by the Government; local authorities, EXIM Bank, RBI, IFCI, IDBI, NHB, SIDBI and (c) Any other institutions as may be agreed from time to time between the competent authorities of the Contracting states.

For LOB Clause – Refer Note 5

45

Malta

Notification No.34/2014/F.No.504/06/2003-FTD-I dated 5 August 2014

01.04.2015 A.Y 2016-17

10 @*

10 @

10 @

10 @

*As per para 1 of the protocol, under the full imputation system adopted by Malta, there is no withholding tax on dividends in addition to the tax chargeable in respect of the profits or income of the company out of which the dividends are paid.

Interest derived and beneficially owned by following entities is exempt (a) the Government, a political sub-division or a local authority of the other Contracting state; or (b) (i) in case of India, the RBI, the Export-Import Bank of India and the National Housing Bank or (ii) in case of Malta, the Central Bank of Malta. (c) any other institution as may be agreed upon from time to time between the competent authorities of the Contracting states through exchange of letters.

For Limitation Of Benefits (‘LOB’) Clause – Refer Note 5.

46

Mauritius 146 ITR 214 243 ITR 25

01.04.1982 A.Y. 1983-84

5 @

15 @

* @

15 +

No separate provision

5% tax on dividends if at least 10% of the capital is owned by Company, in other cases 15%.* Interest exempt if beneficially owned by Government or bank carrying bona fide banking business, in other cases rate as per domestic laws.

47

Mexico 329 ITR 7

01.04.2011 A.Y. 2012-13

10 @

10 @

10 @

10 @

1. Interest arising in either state would be exempt from tax if it is derived / paid by the Government, political sub-division, local authority or central bank of the other state
2. Interest arising in Mexico and paid to RBI, EXIM bank and NHB will be exempt from Mexican tax.
3. Interest arising in India and paid to Banco de Mexico, Banco Nacional de Comercio Exterior, S.N.C, Nacional Financiera S.N.C. and Banco Nacional de Obras y Servicios, S.N.C. will be exempt from Indian tax.

For LOB Clause – Refer Note 6

48

Mongolia 222 ITR 44

01.04.1994 A.Y. 1995-96

15 @

15 @

15 @

15 @

—

49

Montenegro 308 ITR 42

01.04.2009 A.Y. 2010-11

5 @

15 @

10 @

10 @

10 @

5% tax on dividends if at least 25% of the capital is owned by Company; in other cases 15%.

Interest derived and beneficially owned by following entities is exempt

1. the Government, a political sub-division or a local authority; or
2. RBI and the Central Bank of Montenegro.

50

Morocco 243 ITR 26

01.04.2001 A.Y. 2002-03

10 @

10 @

10 @

10 @

Interest exempt if beneficially owned by Government or Government owned banks

51

Mozambique 335 ITR 65

01.04.2012 A.Y 2013-14

7.5 @

10 @

10 @

No separate provision *

Interest derived and beneficially owned by following entities will be exempt

1. The Government, a political sub-division or a local authority
2. (i) In case of India, the Reserve Bank of India, the Export-Import Bank of India, the National Housing Bank and
   (ii) in case of Mozambique, the Bank of Mozambique
3. Any other institution as agreed upon from time to time between the competent authorities.

*Any remuneration for technical assistance relating to the use of or the right to use the right or property referred to in the definition of property is included in the term royalty.

For LOB Clause – Refer Note 6

52

Myanmar 314 ITR 6

01.04.2010 A.Y. 2011-12

5 @

10 @

10 @

No separate provision

Interest derived and beneficially owned by following entities is exempt

1. the Government, a political sub-division or a local authority
2. (i) in case of Myanmar, the Central Bank of Myanmar, Myanmar Foreign Trade Bank, Myanmar Investment and Commercial Bank, Myanmar Economic Bank (ii) in case of India, the RBI, EXIM Bank, NHB, SIDBI
3. any other institutions as may be agreed from time to time between the competent authorities of the Contracting states.

For LOB Clause – Refer Note 6

53

Namibia 236 ITR 230

01.04.2000 A.Y. 2001-02

10 @

10 @

10 @

10 @

–Unique LOB clause - Each country gets right to tax income exempted from tax in other country

54

Nepal 345 ITR 128

01.04.2013 A.Y 2014-15

*5 @

10 @

**10 @

15 @

No separate provision

*5% tax on dividends if at least 10% of the capital is owned by Company; in other cases 10%.

**Interest derived and beneficially owned by following entities is exempt

1. The Government, a political sub-division or a local authority
2. (i) in case of India, the Reserve Bank of India and
   (ii) in case of Nepal, the Nepal Rashtra Bank
3. any other institution as may be agreed upon from time to time between the competent authorities of the Contracting states.

For LOB Clause – Refer Note 6

55

Netherlands 177 ITR 72 239 ITR 56 350 ITR 39

01.04.1997 [01.04.87 for Air transport] A.Y. 1998-99

10 @

10 @

10 @

10 @

Reduced rates for dividend and interest from 1.4.1997. Interest earned by the Government, certain institutions like the Central Banks, local authorities or institutions the capital of which is held by the Government of the respective countries etc. is exempt.

Protocol replaces Article 26 - Exchange of Information to make it more comprehensive.

56

New Zealand 166 ITR 90 225 ITR 15 242 ITR 147

01.04.1987 A.Y. 1988-89

15 @

10 @

10 @

10 @

Protocol restricting treaty benefits to Indian or New Zealand residents. Reduced rates come into force from 1.4.2000 and apply to A.Y. 2001-02.

57

Norway 345 ITR 157

01.04.2012 A.Y 2013-14

10 @

10 @

10 @

10 @

Interest derived and beneficially owned by the following entities is taxable only in the contracting state of which the recipient is resident:

1. in case of Norway.(i) the Government, political sub- division, local authority, (ii) Central Bank of Norway, (iii) the Government Pension Fund, (iv) the Norwegian Guarantee Institute for Export Credits, (v) Norfund to the extent they are wholly owned and controlled by the Government of Norway
2. (in case of India, (i) the Government, political sub- division, local authority, (ii) the Reserve Bank of India, (iii) the Export Import Bank of India and the National Housing Bank to the extent they are wholly owned and controlled by the Government of India or Reserve Bank of India
3. any other institution as may be agreed upon from time to time between the competent authorities of the Contracting states.

For LOB Clause – Refer Note 6.

58

Oman (Sultanate of) 228 ITR 21

01.04.1998 A.Y. 1999-00

10 @

12.5 @

10 @

15 @

15 @

10% tax on dividends if beneficial owner is company owning at least 10% of capital in payer company. 12.5% in all other cases.

59

Philippines 219 ITR 60

01.04.1995 A.Y. 1996-97

15 @

20 @

10 @

15 @

15 @

No separate provision

15% tax on dividends if at least 10% of the capital is owned by Company; in other cases 20%. Interest at 10% in hands of financial institutions, Insurance Company and also on public issues of bond, debentures, etc., and at 15% in all other cases.

60

Poland 182 ITR 147 Modified via Protocol Notification No. 47/2014 F.No. 501/08/1979-FTD-I dated 24 September 2014

01.04.1990 A.Y. 1991-92 01.04.2015 A.Y 2016-17

10 @

10 @

15 @

15 @

Interest derived and beneficially owned by following entities is exempt (i) the Government, a political sub-division or a local authority of the other Contracting state or (ii) the Central Bank of the other Contracting state.

Interest derived in connection with a loan or credit extended or endorsed and beneficially owned by following entities is exempt

(i) in the case of Poland, Bank Gospodarstwa Krajowego (BGK), to the extent such interest is attributable to financing of exports and imports only (ii) in the case of India, the Export-Import Bank of India (Exim Bank) to the extent such interest is attributable to financing of exports and imports only (iii) any institution of a Contracting State in charge of public financing of external trade (iv) any other person provided that the loan or credit is approved by the Government of the first-mentioned Contracting State.

For LOB clause – Refer Note 5.

61

Portuguese Republic 244 ITR 57

1.4.2001 A.Y. 2002-03

10 @

15 @

10 @

10 @

10 @

10% tax on dividend if at least 25% of the capital is owned by a Company for an uninterrupted period of 2 years prior to payment of the dividend, otherwise 15% limitation of tax on interest to be settled under Mutual Agreement Procedure by competent Authorities. See protocol to the Treaty for details on other Articles.

62

Qatar 242 ITR 165

01.04.2001 A.Y. 2002-03

5 @

10 @

10 @

10 @

10 @

5% tax on dividend if beneficial owner is company owning, at least 10% of capital in payer company. 10% in all other cases.

63

Romania Notification No 13/2014 F.No.501/10/1995-FTD-I

01.04.14 A.Y 2015-16

10 @

10 @

10 @

10@

Interest derived and beneficially owned by following entities is exempt (a) the Government, an administrative – territorial unit political sub-division or a local authority of the other Contracting state; or (b) (i) in case of Romania, the National Bank of Romania, Export-Import Bank of Romania, and (ii) in case of India, the Reserve Bank of India,Export-Import Bank of India, the National Housing Bank, or (c) any other institutions as may be agreed upon from time to time between the competent authorities of the Contracting states through exchange of letters.

For LOB Clause – Refer Note 6

64

Russian Federation 233 ITR 90

01.04.99 A.Y. 2000-01

10 @

10 @

10 @

10 @

—

65

Saudi Arabia 286 ITR 87

01.04.2007 AY 2008-09

5 @

10 @

10 @

No Separate provision

Interest derived and beneficially owned by following entities is exempt (a) the Government, a political sub-division or a local authority; or (b) RBI, Export-Import Bank of India, the National Housing Bank, the Saudi Arabian Monetary Agency (c) any other financial institutions wholly owned directly and controlled by the Government. ”Resident” includes (in case of Saudi Arabia), an Indian national who is present in Saudi Arabia for a period of at least 183 days in a fiscal year. “Zakat” is treated as a tax on income. DTA to be reviewed after 5 years for inclusion of FTS clause

66

Serbia 308 ITR 18

01.04.2009 A.Y. 2010-11

5 @

15 @

10 @

10 @

10 @

5% tax on dividends if at least 25% of the capital is owned by Company; in other cases 15%.

Interest derived and beneficially owned by following entities is exempt

1. the Government, a political sub-division or a local authority; or
2. RBI and Central Bank or National Bank.

67

Singapore 209 ITR 1

Modified via Protocol signed pursuant to CECA 276 ITR 142

Further Modified via Protocol 337 ITR 93

01.04.1994 A.Y. 1995-96

10 @

15 @

10 @

15 @

10 @

10 @

10% tax on dividend if at least 25% of the capital is owned by co. In other cases 15%. Interest at 10% if recipient is bank, insurance co. or similar financial institution. In other cases 15%.

Article on Capital Gains similar to India - Mauritius DTAA subject to satisfaction of additional conditions in the LOB clause via Protocol dated 29th June 2005 (effective A. Y. 2006-2007).

Protocol replaces Article 28- Exchange of Information to make it more comprehensive.

68

Slovak Republic Notification No. 25/2015 F.No. 501/12/1995-FTD-I dated 23 March 2015

01.04.2000 A.Y. 2001-02

10@

10@

10@

10@

The Agreement signed between India and Czechoslovak Socialist Republic for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income continues to be applicable in respect of the Slovak Republic, being one of the independent States to have succeeded the Czechoslovak Socialist Republic.

69

Slovenia 275 ITR 144

01.04.2006 A.Y. 2007-08

5 @ 15 @

10 @

10 @

10 @

5% tax on dividend if beneficial owner is company owning at least 10% of capital in payer company, 15% in all other cases.

70

South Africa 231 ITR 23

Modified via protocol notification No. 10/2015-FT & TR-II dated 2 February 2015

01.04.1998 A.Y. 1999-2000

10 @

10 @

10 @

10 @

Protocol effective from 26 November 2014 replaces Article 28- Exchange of Information to make it more comprehensive.

71

Spain 214 ITR 197

01.04.1996 A.Y. 1997-98

15 @

15 @

10 @

10 @

Royalty payment for use of or right to use equipment was taxable at 10%, in other cases taxable rate was 20%. However, Royalties and Fees for Technical Services taxable at 10% as per lower rate specified in Indo-German DTAA w.e.f. 26-10-1996.

72

Sri Lanka 363 ITR 39

01.04.2014 A.Y. 2015-16

7.5 @

10 @

10 @

10 @

Interest derived and beneficially owned by the following shall be exempt a) the Government, a political sub-division or a local authority; (b)(i) in the case of India, the RBI, Exim Bank, the National Housing Bank and (ii) in case of Srilanka, the Central Bank of Srilanka or (c) any other institution the capital of which is wholly owned by the Government of that

state, as may be agreed upon from time to time between the competent authorities of the Contracting States through exchange of letters.

For LOB Clause – Refer Note 6.

73

Sudan 271 ITR 3

01.04.2005 A. Y. 2006-07

10 @

10 @

10 @

10 @

Interest or gains derived and beneficially owned by following entities is exempt (a) the Government, a political sub-division or a local authority; (b) in case of India, the RBI, IFCI, IDBI, NHB, SIBBI and ICICI; (c) in case of Sudan, the Bank of Sudan and the Sudanese Development Corporation; or (d) any other institution as may be agreed upon from time to time between the competent authorities of the Contracting States through exchange of letters

74

Sweden 229 ITR 11

01.04.1998 A.Y. 1999-2000

10 @

10 @

10 @

10 @

—

75

Swiss Confederation 214 ITR 223 248 ITR 209

01.04.1995 A.Y. 1996-97

10 @

10 @

10 @

10 @

Extensive Modifications to many articles including P.E. come into effect from 1.4.2001.

76

Syria 312 ITR 9

01.04.2009 A.Y. 2010-2011

5 @

10 @

10 @

10 @

No separate provision

5% tax on dividend at least 10% of capital is held by company, 10% in all other cases

Interest derived and beneficially owned by following entities is exempt

1. the Government, a political sub-division or a local authority; or
2. RBI and the Central Bank of Syria

For LOB Clause – Refer Note 6.

77

Tajikistan 315 ITR 1

01.04.2010 A.Y. 2011-12

5 @ 10 +

10 @

10 @

No separate provision

Dividend is taxable at 5% where the beneficial owner is a company holding at least 25% of the share capital.

Interest derived and beneficially owned by following entities is exempt

1. the Government, a political sub-division or a local authority; or
2. the RBI, Export-Import Bank of India, the National Housing Bank (India) and the National Bank, Tajikistan.
3. Any other institution agreed upon between the Contracting States.

For LOB Clause – Refer Note 6.

78

Tanzania 343 ITR 5

01.04.2012 A.Y. 2013-14

*5 @

10 @

**10 @

10 @

No separate provision

*5% tax on dividends if at least 25% of the capital is owned by Company; in other cases 10%

10% Interest derived and beneficially owned by following entities is exempt:

1. the Government, a political sub-division or a local authority;
2. (i) in case of India, RBI, Export-Import Bank of India, the National Housing Bank and
   (ii) in case of Tanzania, the Bank of Tanzania
3. any other institution as agreed upon from time to time between the competent authorities of the Contracting states.

For LOB Clause – Refer Note 6.

79

Thailand 161 ITR 82

01.01.1987 A.Y. 1988-89

15 @

20 @

10 +

25 +

15 +

No separate provision

Dividend taxable at 15% if payer is industrial company and payee company is holding at least 10% of voting shares in it. Taxable at 20% if payee is industrial company or recipient company is beneficial owner holding at least 25% of voting shares. In other cases as per domestic law. Interest taxable at 10% if recipient is financial institution including insurance company, otherwise at 25%.

80

Trinidad and Tobago 240 ITR 184

01.04.2000 A.Y. 2001-02

10 @

10 @

10 @

10 @

—

81

Turkey 224 ITR 145

01.04.1994 (notified on 03.02.97) A.Y. 1995-96

15 @

10 @

15 @

15 @

Interest is taxable at 10% if recipient is a bank or a financial institution, in other cases 15%.

82

Turkmenistan 228 ITR 44

01.04.1998 A.Y. 1999-2000

10 @

10 @

10 @

10 @

—

83

Uganda 270 ITR 83

01.04.2005 A. Y. 2006-07

10 @

10 @

10 @

10 @

Interest derived and beneficially owned by following entities is exempt (a) Government, political sub-division or a local authority of the other Contracting State; or (b) the Central Bank or the other Contracting State; or any other bank, or Government financial institutions/agencies that may be mutually agreed upon between the two Contracting States.

84

Ukraine 253 ITR 54

01.04.2002 A.Y. 2003-04

10 @

15 @

10 @

10 @

10 @

Dividend taxable @ 10% if at least 25% of the capital beneficially owned, otherwise @ 15%

85

United Arab Emirates 205 ITR 49 Notification no. 282 dated 28.11.07 295 ITR 40 352 ITR 43

01.04.1994 A.Y. 1995-96

10 @

5 @

12.5 @

10 @

No separate provision

Tax on interest at 5% in cases of banks, etc. and at 12.5% in all other cases. Interest exempt in case of Government, political sub-division or a local authority and Central Banks of the two states

Protocol replaces Article 28- Exchange of Information to make it more comprehensive.

For LOB Clause – Refer Note 6

86

United Arab Republic (Egypt) 74 ITR 11

01.01.1970 A.Y. 1971-72 (01.01.1961 operation of aircraft)

*

*

Taxable only in source country

No separate provision

* For rate of tax and basis of taxation refer to the DTAA provisions.

87

United Kingdom 206 ITR 235 Modified via Protocol Notification No. 10/2014 F.No. 505/3/1986-FTD-I dated 10 February 2014

01.04.1994 A.Y. 1995-96

15 @*

10 @

15 @**

10 @

[See Note 2]

[See Note 2]

* Dividend taxable @15% where those dividends are paid out of income derived directly or indirectly from immovable property within the meaning of Article 6 by an investment vehicle which distributes most of this income annually and whose income from such immovable property is exempted from tax, in all other cases 10%

**Interest taxable at 10% if beneficial owner is bank which is resident, in other cases at 15%. Interest paid to following entities is exempt:

1. Government, political sub-division or a local authority;
2. RBI, United Kingdom Export Credits Guarantee Department, Exim bank, Export Credits and Guarantee Corporation of India.

Protocol replaces Article 28- Exchange of Information to make it more comprehensive

For LOB Clause – Refer Note 6

88

United States of America 187 ITR 102

01.04.1991 A.Y. 1992-93

15 @

25 @

10 @

15 @

[See Note 2]

[See Note 2]

15% tax on dividends if at least 10% of the capital is owned by Company, in other cases 25%. Interest taxable at 10% if recipient is bona fide bank or financial institution, in other cases 15%. Technical Services termed as included services. Treaty has LOB clause and P.E. Tax Articles. Protocol is very important.

For LOB Clause – Refer Note 6

89

Uruguay CBDT Circular No. F.No.500/138/2002-FTD-II

01.04.2014 A.Y. 2015-16

5 @

10 @

10 @

10 @

Interest arising in a Contracting State shall be exempt from tax in that State, provided that it is derived and beneficially owned by:

1. The Government, a political sub-division or a local authority of the other Contracting state; or
2. (i) in the case of India, the Reserve Bank of India, the Export-Import bank of India; the National Housing bank and
   (ii) in the case of Uruguay, Banco Central del Uruguay, Banco de la Republica Oriental del Uruguay, Banco Hipotecario del Uruguay or
3. c) Any other institution as may be agreed upon from time to time between the Competent authorities of the Contracting States through exchange of letters.

For LOB Clause – Refer Note 6.

90

Uzbekistan 223 ITR 60 349 ITR 171

01.04.1993 A.Y. 1994-95 01.04.2013 A.Y 2014-15

15 @

10 @

15 @

10 @

15 @

10 @

15 @

10 @

* Interest received from transaction approved by source country’s Government will be exempt. In other cases normal provision of domestic tax law will apply.

Protocol replaces Article 28- Exchange of Information to make it more comprehensive.

For LOB Clause – Refer Note 6.

91

Vietnam (Socialist Republic of Vietnam) 214 ITR 137

01.04.1996 A.Y. 1997-98

10 @

10 @

10 @

10 @

—

92

Zambia 146 ITR 233

A.Y. 1979-80

5 +

15 +

10 +

10 +

10+

Dividend taxable at 5% if the recipient is a company which holds at least 25% of the shares during at least 6 months before the date of payment and at 15% in all other cases. Article 14 is titled ‘Management and Consultancy Fees’

No. 5 DT. 28-09-2004:

270 ITR (St.) 0031

Taxation of business process outsourcing units of Non-Residents in India. (Revised, withdrawing Circular No. 1 dated 02-01-2004 [265 ITR (St.) 0023])

No. 1 of 2004 DT. 02-01-2004:

265 ITR (St.) 0023

Taxation of business process outsourcing units of Non-Residents in India.

No. 1 of 2003 DT. 10-02-2003:

260 ITR (St.) 0245

Residential status under Indo Mauritian Tax Treaty.

No. 10 DT. 09-10-2002

258 ITR (St.) 9

Submission of No Objection Certificate in case of remittance to a non-resident

No 787 DT. 10-02-2000

243 ITR (St.) 1

Taxation of income of artists, entertainers, sportsmen etc. from international/local events.

No. 742 DT. 02-05-1996:

No. 765 DT. 15-04-1998:

No. 6/2001, dated 5-3-2001

219 ITR (St.) 0049

231 ITR (St.) 0010

248 ITR (St.) 247

Taxation of foreign telecasting companies.

No. 740 DT. 17-04-1996:

219 ITR (St.) 0008

Taxability of remittance of interest by Branch of a foreign bank to its head office.

No. 734 DT. 24-01-1996:

217 ITR (St.) 0074

Rates of TDS under DTAA between India & U.A.E.

No. 728 DT. 30-10-1995:

216 ITR (St.) 0141A

Clarification regarding rate of TDS u/s. 195 for remittance, clarified that such rates shall be as provided in relevant Finance Act or in DTAA whichever is more beneficial to the assessee.

No. 588 DT. 02-01-1991:

187 ITR (St.) 0063

Taxability of import of system software from Non Residents.

No. 333 DT. 02-04-1982:

137 ITR (St.) 0001B

A conflict in application of DTAA and provisions of Income-tax Act, 1961, clarified that beneficial provision shall apply.

No. 108 DT. 20-03-1973:

In relation to exchange of information between the countries for preventing evasion or avoidance of taxes and recovery thereof.

Nos. 90 and 91/ 2008 DT 28-08-2008

304 ITR 63

Where treaty provides that any income of an Indian Resident “may be taxed” in the other country, such income shall be included in the total Income of such resident and relief shall be available as per DTAA.

CBDT Instruction No. 3 /2004 dated 19-03-2004

Suspension of collection of taxes during operation of Mutual Agreement Procedure in respect of India-UK DTAA

Circular No.7/2009 [F.No. 500/135/2007-FTD-I] dated 22 October 2009

318 ITR 1

Circular No 23 dated 23rd July 1969 and Circular No 163 dated 29th May, 1975 (both relating to taxability and accrual of Income of Non-resident in India) are withdrawn. Further, Circular No. 786 dated 7th February 2000 (relating to clarification of taxability of export commission in the hands of non-resident in India) is also withdrawn

Circular No.7 dated 23 October 2007 amended on 27 September 2011

338 ITR 1

The CBDT has laid down the procedure for refund of tax deducted at source under Section 195 of the Income-tax Act, 1961 to the person deducting tax at source from the payment to a non-resident. Refund will now be available to residents who have deducted tax at a higher rate, relying on a Tax Treaty, while a lower rate of tax deduction has been prescribed under domestic law.

Notification No.57/2013/F.No.142/16/2013-TPL

356 ITR 21

The CBDT has amended Rule 21AB of Income Tax Rules, 1962. As per the amendment, subject to provisions of Section 90 and 90A of the Act, if the TRC doesn’t contain specified details viz. status of the taxpayer, country of registration, PAN, tax identification number etc.; non-resident taxpayer to furnish the same through Form 10F.

Notification No. 93/2009 dated 9 December 2009

320 ITR 14

“The territory in which the taxation law administered by the Ministry of Finance in Taipei is applied” has been notified as ‘Specified Territory’ and “India-Taipei Association in Taipei” and “Taipei Economic and Cultural Centre in New Delhi” have been notified as ‘Specified Association’ under Section 90A of the Income-tax Act, 1961.

Notification No. 22/2010/F.No. 142/5/2010-SO(TPL) dated 8 April 2010

323 ITR 52

The following areas outside India have been notified as ‘Specified territory’ under Section 90 of the Income-tax Act, 1961:

1. Bermuda;
2. British Virgin Islands;
3. Cayman Islands;
4. Gibraltar;
5. Guernsey;
6. Isle of Man;
7. Jersey;
8. Netherlands Antilles;
9. Macau

Notification No. 25/2010 [F.No. 500/124/97-FTD-II], dated 20 April 2010

323 ITR 52

Hong Kong Special Administrative Region of the People’s Republic of China has been notified as ‘Specified territory’ under Section 90 of the Income-tax Act, 1961

Notification No. 54/2012 [F.No. 503/14/2012-FTD-I(PT), dated 17 December 2012

350 ITR 4

Sint Maarten, a part of Kingdom of Netherlands, has been notified as ‘Specified territory’ under Section 90 of the Income-tax Act, 1961

Notification No F.No.504/05/2003-FTD-I

359 ITR 8

Cyprus has been notified as ‘notified jurisdictional area’ under Section 94A of the Income-tax Act, 1961

Notification No.03/2011-FTD-II [F.No. 500/96/97-FTD_II] dated 10 January 2011

330 ITR 6

Agreement among Governments of SAARC Member States for avoidance of double taxation and mutual administrative matters is effective from 1 April 2011

Notification No.05/2011/F.No.503/2/2009-FTD-I

330 ITR 83

Tax Information Exchange Agreement between India and Bermuda signed on 7 October 2010

Notification No.25/2011/F.No.503/6/2009-FTD-I

334 ITR 296

Tax Information Exchange Agreement between India and Bahamas signed on 11 February 2011

Notification No.26/2011/F.No.503/01/2008-FTD-I

334 ITR 313

Tax Information Exchange Agreement between India and Isle of Man was signed on 4 February 2011

Notification No.54/2011/F.No.503/10/2009-FTD-I

338 ITR 25

332 ITR 4

Tax Information Exchange Agreement between India and British Virgin Islands signed on 9 February 2011 Press Note / Release No. 402/92/2006-MC (43 of 2011)

Notification No.61/2011/F.No.503/03/2009-FTD-I

340 ITR 1

Tax Information Exchange Agreement between India and Cayman Islands was signed on 21 March 2011

Notification No.26/2012/F.No.503/6/2008-FTD-I

346 ITR 1

Tax Information Exchange Agreement between India and Jersey was signed on 03 November 2011

Notification No.30/2012/F.No.503/01/2009-FTD-I

346 ITR 169

Tax Information Exchange Agreement between India and Guernsey was signed on 20 December 2011

Notification No.32/2012-FT-TR-II/F.No.503/02/2010-FT&TR-II

348 ITR 132

Tax Information Exchange Agreement between India and Liberia was signed on 03 October 2011

Notification No.43/2012-FT&TR-II/F.No.503/04/2009-FT&TR-II

349 ITR 3

Tax Information Exchange Agreement between India and Macao Special Administrative Region of the People’s Republic of China was signed on 03 January 2012

Notification No. 22/2013/504/3/2010 FTD-II

352 ITR 46

Tax Information Exchange Agreement between India and Argentina was signed on 21 November 2011.

Notification No. 28/2013[F.No.503/11/2009-FTD-I

352 ITR 58

Tax Information Exchange Agreement between India and Gibraltar was signed on 01 February 2013.

Notification No. 43/2013/F. No. 503/4/2009 – FTD-I.

355 ITR 197

Tax Information Exchange Agreement between India and Monaco was signed on 31 July 2012.

Notification No. 3/2014/F.No. 503/4/2012-FTD-I

360 ITR 44

Tax Information Exchange Agreement between India and Belize was signed on 18 September 2013.

Notification No. 44/2013/F.No.501/03/1994-FT&TR-II dated 19 June 2013

Tax Information Exchange Agreement between India and Bahrain was signed on 31 May 2012.

Notification No. 30/2014/F.No. 503/4/2009-FTD-I dated 6 June 2014

Tax Information Exchange Agreement between India and the Principality of Liechtenstein was signed on 28 March 2013.

Notification No. 48/2011/F.No. 500/02/2001/FTD-II

337 ITR 96

Agreement between India – Taipei Association In Taipei and Taipei Economic and Cultural Center in New Delhi for Avoidance of Double Taxation and the prevention of Fiscal Evasion with respect to Taxes on Income shall be effective from 1 April 2012.

The Agreement notifies the following rates for taxes on income:-

1. Dividend – 12.5%@
2. Interest – 10%@
   Interest will be exempt if derived and beneficially owned by
   1. The authority administering a territory, a sub-division or a local authority of other territory; or
   2. Central Banks and Export-Import Banks of the territories referred above; or
   3. Any other institution as may be identified and accepted from time to time by competent authorities of both the territories.
3. Royalty and Fees for Technical Services – 10%@