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CA Final · Direct Tax Laws & International Taxation · Double Taxation Relief

Kaveri Holdings, a company resident in a foreign country, wants to claim relief under an India agreement notified under section 159(1) on its Indian-source income. Which condition must it satisfy to be entitled to the relief, as per section 159(8) read with Rule 75?

The non-resident must obtain a certificate of residence from the Government of its own country or specified territory and furnish the other prescribed documents and information in Form No. 41. Forms 42 and 43 concern Indian residents seeking a certificate.

  1. AObtain a certificate of residence from the Indian Assessing Officer in Form No. 43
  2. BObtain a residence certificate from the Government of its country of residence and provide the other documents and information in Form No. 41Correct
  3. CProvide only Form No. 42 to the Assessing Officer
  4. DFile an advance ruling application before claiming relief

Explanation

Section 159(8) requires a non-resident to obtain a certificate of residence from the Government of the other country or specified territory. It must also provide other prescribed documents and information, which Rule 75(1) specifies as Form No. 41. Forms 42 and 43 apply to residents of India seeking an Indian certificate.

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