Hii sir
Sir, 115 BBDA is applicable only to Resident assesses
Secondly domestic company are excluded from 115BBDA.
Now in case a company is foreign company but due to POEM it becomes resident in INDIA and such company receives dividend from Indian company, so dividend exceeding 10 lakhs is taxable in India of such foreign company? (Means whether 115 BBDA is applicable to such foreign company, who became resident due to POEM, or not?)
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Applicablity of Sec 115BBDA on Foreign company resident in India due to POEM
Replies (2)
As per section 115BBDA of the Income Tax act 2017, "Specified foreign company " means a foreign company in which the Indian company holds 26% or more in nominal value of the equity share capital of the company . your point of view on this .
for applicability of section 115BBDA there must be two condition satisfied
1. specified assessee ( it includes foreign company )
2. resident in India (POEM is in India)
so, both the conditions are satisfied. then, the company is liable to tax u/s 115BBDA
1. specified assessee ( it includes foreign company )
2. resident in India (POEM is in India)
so, both the conditions are satisfied. then, the company is liable to tax u/s 115BBDA
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