TAXATION LAW

DOUBLE TAXATION AVOIDANCE AGREEMENTS IN

INDIA

Submitted by:

RUSHI KUNKUPUDI (16010324358)

SHANIKA GOEL (16010324366)

DIVISION: ‘D’

BBA LLB (2016-2021)

Symbiosis Law School, Hyderabad

In March, 2019
Under the guidance of

A. Chandrasekhar
Assistant Professor
Symbiosis Law School, Hyderabad
ABSTRACT:
The double taxation avoidance agreement is an agreement, which helps the taxpayer to
get relief from double taxation on the same income. If India has signed any double
taxation agreement with any foreign country; it’s meant that the taxpayer of those
countries does not have to pay the tax on the same income in both the countries. So,
double taxation avoidance agreement is a useful tool which helps the taxpayer to avoid
“double taxation”. In a case if the two countries do not sign any DTAA then the assess
has to pay tax in both the state i.e. the country of his residence as well as the source
country, this is why double taxation avoidance is so much important. In this project I will
make a detail study on double taxation avoidance agreement in India.

RESEARCH QUESTIONS:

 What is the necessity of double taxation avoidance agreement and how DTAA
works in India?
 What are the misuse of Double Taxation Avoidance Agreement?

OBJECTIVES:

The objectives of the project are:

 To understand the meaning and the concept of DTAA.

 To understand the necessity of a double taxation avoidance agreement
 To conduct a detailed study on the history and background of the double taxation
avoidance agreement.
 To identify the misuses of a DTAA.

METHODOLOGY:

There is one types of method in doing this research:-

Doctrinal research (secondary method)

To study this project, I used both these methods to collect data. This method is an indirect
method which is collected from books, internet sources, journals etc.

LITERARY REVIW:

I will divide this project into seven chapters. In first chapter there will be introduction,
research objective. In Second chapter I will make a detail study on double taxation
avoidance agreement wherein I will discuss the meaning and the concept of double
taxation and also the importance of double taxation avoidance agreement. In third chapter
there will be a detailed study on the history and background of the double taxation
avoidance agreement. In next chapter I will analyse those provisions of income tax act,
1961, which are dealing with double taxation and will try to find out whether it is conflict
with double taxation avoidance agreement or not. In 5th chapter I will discuss
jurisdictional issue regarding double taxation avoidance. In chapter six, I will make a
detail analysis on how double taxation avoidance agreement works in India. In chapter
seven I will discuss about the misuse of DTAA where I will analyse double non taxation
and treaty shopping. Finally, in the last chapter will be consisted of conclusion and
suggestion part.