Assessee is a branch of ABN Amro Bank NV incorporated in Netherlands with limited liabilities having its original office at Singapore. In India, assessee is registered as a scheduled bank in terms of Second Schedule to RBI Act, 1934 Since assessee had a PE in India, it was liable to tax in respect of income attributable to PE. Held that in terms of Article 24(2) of DTAA between India and Netherlands, containing provision of non-discrimination, assessee is liable to Income Tax at rate applicable to a domestic company. It was found that Explanation to section 90 is not in conflict with provisions of DTAA and that there is no conflict between provisions of DTAA and Income-tax Act, 1961 regarding non-discrimination. Further, section 2(17) defining word ‘Company’, section 2(22A) defining word ‘Domestic Company’, section 2(23A) defining word ‘Foreign Company’, and section 90 of Act, 1961 read with Explanation and section 2(1), section 2(12)(a), Paragraph ‘E’ of First Schedule to Finance Act are plain, unambiguous and lead only to one conclusion that two classes of companies, namely, ‘domestic company’ and ‘company other than a domestic company’ are liable to tax at prescribed rates. Therefore, there being no ambiguity in classification and rates of tax, assessee, which was not a ‘domestic company’, is liable to tax at rates prescribed for a company ‘other than a domestic company’.