Tribunal held that rate of tax payable on dividend distributed to non-resident shareholders would depend upon relevant Article of DTAA entered into between India and country to which non-resident belongs, subject to conditions that dividend is paid to non-resident shareholder, dividend constitutes income in hands of non-resident shareholder, non-resident shareholder is beneficial owner of dividend and non-resident shareholder does not have a Permanent Establishment in India. Matter remanded. (AY. 2013-14, 2014-15)
DCIT v. Indian Oil Petronas (P.) Ltd. (2021) 189 ITD 490/ 214 TTJ 123 / 207 DTR 131 (Kol.) (Trib.)
S. 115-O : Domestic companies-Tax on distributed profits-Rate in force-Non-Resident share holders-Double Taxation avoidance agreement-DTAA being more beneficial to assessee would be applicable over rate specified in section 115-O-Matter remanded. [S. 2(37A), 4, 90]