AAR held that the applicant was incorporated a few days before joint venture was formed in India  and had no independent source of funds or sources of income nor had any fiscal independence . The AAR held that the applicant is a shell company in Joint Venture and dominant purpose of inter -passing was to avoid tax in India , therefore the applicant is not entitle  to benefit of Article 13(4) of the India -Mauritius DTAA in regard to gains arising from transaction of sale of shares .