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regarding DTAA

CA Final 207 views 1 replies
if Aryan has earned an income of rs.4 lakh by way of lump sum consideration for copyright of book from a publisher in country Y with which India does not have A DTAA .The same has been taxed at a flat rate of 5% in country Y . in India ,his gross total income is Rs.7 lakhs. the double taxation relief is?
please detail specify calculations.
Replies (1)
first of all u have to calcualte tax liablity on the total income of 11 lac and the average tax rate...
then he will get relief of 5℅ or Indian Avg tax rate.... which ever is lower as per Section 91 of IT


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