Petitioner Netherland based company held 58.39 percent of shares of Indian company [DFCPL] which proposed to distribute dividend. The petitioner filed an application under section 197 of the Act\u00a0 before the Assessing Officer requesting him to issue a certificate to lower withholding tax\u00a0 rate of 5 percent as applicable under the DTAA. The application was rejected and certificate was issued under section 197 of the Act at the rate of 10 percent. on writ allowing the petition\u00a0 the court held that dividend received by a Netherland company from Indian Company is Liable to deduct lower withholding tax rate of 5 per cent instead of 10 per cent as per\u00a0\u00a0\u00a0 DTAA-India and Netherland. (FY. 2021-22)\u00a0\u00a0 \u00a0\u00a0<\/p>\n","protected":false},"excerpt":{"rendered":"
S. 197 : Deduction at source-Certificate for lower rate-Dividend received by a Netherland company from Indian Company-Liable to deduct lower withholding tax rate of 5 per cent instead of 10 per cent-DTAA-India-Netherland. [S. 9(1)(iv), Art. 10, Art. 226]<\/p>\n","protected":false},"author":3,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"jetpack_post_was_ever_published":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[21],"tags":[],"class_list":["post-26870","post","type-post","status-publish","format-standard","hentry","category-income-tax-act"],"acf":[],"jetpack_featured_media_url":"","jetpack_shortlink":"https:\/\/wp.me\/p9S2Rw-6Zo","jetpack-related-posts":[],"jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/26870","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/comments?post=26870"}],"version-history":[{"count":1,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/26870\/revisions"}],"predecessor-version":[{"id":26871,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/26870\/revisions\/26871"}],"wp:attachment":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/media?parent=26870"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/categories?post=26870"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/tags?post=26870"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}