The Government of India has notified the protocol amending Double Taxation Avoidance Agreement (DTAA) with Austria, notifies that the date of entry into force of the said amending Protocol is the 1st May 2020.
The Protocol was signed between the Sushil Chandra, Chairman of Central Board of Direct Taxes (CBDT) for the Republic of India, and Georg Zehetner, Chargé d’Affaires a.i. Austrian Embassy, New Delhi for the Republic of Austria.
The Protocol replaces Article 26 on Exchange of Information (EOI), amended Article 26 provides that the Competent Authorities of the contracting States shall exchange such information as is foreseeably relevant for carrying out the provisions of this Convention or to the administration or enforcement of the domestic laws concerning taxes of every kind and description imposed on behalf of the Contracting States.
The Protocol inserts Article 26A on Assistance in the Collection of Taxes, which provided that the Contracting States shall lend assistance to each other in the collection of the tax to the extent needed to ensure that any exemption or reduced rate of tax granted under this Convention shall not be enjoyed by persons not entitled to such benefits. The competent authorities of the Contracting States may by mutual agreement settle the mode of application of this Article.
“The Contracting States shall notify each other through diplomatic channels that all legal procedures for the entry into force of this Protocol have been completed. The Protocol shall enter into force on the first day of the third month next following the date of the receipt of the latter of the notifications referred to above. The provisions of this Protocol shall have effect with regard to taxable periods beginning on or after 1 January of the calendar year next following the year of the entry into force of this Protocol,” Article 4 of the amending protocol said.Subscribe Taxscan AdFree to view the Judgment