India has concluded a comprehensive double taxation treaty with 88 countries, 85 of which have entered into force.  This means that there are agreed tax rates and jurisdictions for certain types of income to be collected in one country for a tax established in another country. Under India`s Income Tax Act 1961, there are two provisions, Section 90 and Section 91, which provide taxpayers with a special facility to protect them from double taxation. Section 90 (bilateral relief) applies to taxpayers who have paid tax to a country with which India has signed double taxation treaties, while Section 91 (unilateral relief) grants benefits to taxpayers who have paid taxes to a country with which India has not signed an agreement. Thus, India relieves both types of taxpayers. Prices vary from country to country. 4. In the event of a tax dispute, agreements can provide a two-way consultation mechanism and resolve issues that arise. Member States` double taxation treaties continue to be reviewed by the ECJ. In particular, the problems posed by the current lack of coordination in this area, in particular in triangular situations and as regards third countries, will be further exacerbated. In the absence of Community intervention, there may be significant political and economic repercussions on Member States` policies in this area. That is why the Commission hopes that its approach to the gradual and moderate coordination of Treaty policies will finally be supported and that the Member States will adopt a constructive attitude.
The double taxation treaty between India and Singapore currently provides for domicile-based taxation on capital gains from shares in a company. The Third Protocol amends the Agreement with effect from 1 April 2017 by providing for withholding tax on capital gains from the transfer of shares in a company. This will reduce revenue losses, avoid double non-taxation and streamline investment flows. In order to provide a guarantee to investors, investments in shares made before 1 April 2017 were made in accordance with the conditions laid down in the limitation of benefits clause provided for in the 2005 Protocol. . .