Assessee, a banking company incorporated in Korea, is  carrying on business in India through its PE. Assessee claimed that it would be eligible for benefit as per article 24 and its income was to be taxed at rate of 30 per cent applicable to a resident taxpayer instead of 40 per cent. Assessing Officer denied said claim. On appeal the Tribunal held that  Explanation 1 to section 90, which was brought into effect retrospectively from 1-4-1962 stated that charge of tax in respect of a foreign company at a rate higher than rate at which a domestic company was chargeable, would not be regarded as less favourable charge in respect of such foreign company, where company had not made prescribed arrangement for declaration and payment within India, of dividends payable out of its income in India. Since the  assessee had not made arrangements for declaration of dividends out of income earned in India, its income was to be charged at a higher rate of tax in India and same could not be treated as discrimination on account of fact that assessee belonged to other Contracting State, i.e., Korea. (AY. 2012-13 to 2015-16 )