Double Taxation Agreement Holland
If the Netherlands does not have a tax treaty with the country concerned, the “double taxation (avoidance) decree (2001) applies.” The application of this decree will also avoid double taxation. For more information on preventing double taxation, see the double tax break. Where the Indian tax actually levied on interest collected in India is lower than that which India may collect under paragraphs (a) and (b) of Article 11, paragraph 2, because of specific tax relief provided by Indian law to promote investment in India, the amount of tax paid in India on such interest is deemed to be paid at the rates covered by these provisions. However, if the general tax rates are lowered below those mentioned in the previous paragraph, in accordance with Indian legislation applicable to the above rates, those rates are lower for the purposes of this rate. The provisions of the two sentences above apply only for a period of ten years from the date the convention came into force. This period can be extended by mutual agreement between the competent authorities. The annexed agreement between the Government of the Republic of India and the Kingdom of the Netherlands on the prevention of double taxation and the prevention of tax evasion in the context of income and capital taxation came into force on 21 January 1989, after the two States Parties notified that the procedures under their law for the entry into force of this Convention under Article 29 , paragraph 1 of the convention; 2. To the extent that Article 7 paragraph 3 is not applicable, the imposition of a stable establishment of a company from one State to the other state is not perceived in that other state less favourably than the imposition applied to the enterprises of that other state carrying out the same activities. b. in India: –income tax, including possible increases, –the Surtax, –the wealth tax (hereafter referred to as the “Indian tax”). 1.
2. 3. 4. The agreement also applies to all identical or essentially similar taxes levied after the date of signing of the agreement in addition to or in place of existing taxes. The competent authorities of the States inform each other of any substantial changes made to their respective tax laws.