Double Taxation Avoidance Agreement India And Kenya
It should be noted that the revised DBA contains explicit provisions that the provisions of the revised DBA do not prevent a State Party from applying the provisions of its national law relating to tax evasion or avoidance, whether or not they are designated as such. On 11 July 2016, the Kenyan and Indian governments signed a revised Double Taxation Convention (DBA). The DBA, which entered into force on 30 August 2017, will apply to Kenya from 1 January 2018 and will replace the former Kenya-India DBA, which entered into force on 20 August 1985. (d) if he is a national of both or both States, the competent authorities of the States Parties shall decide by mutual agreement on the matter. 3. The term “dividends” used in this Article means income from shares or other rights that are not receivables, that participate in profits, as well as income from other corporate rights subject to the same tax treatment as shares under the laws of the State in which the distributing company is established. 1. States Parties shall provide assistance to each other in the collection of tax claims. This aid shall not be limited by Articles 1 and 2. The competent authorities of the States Parties may, by mutual agreement, regulate the application of this article. 1.
If a person considers that the actions of one or both States Parties will result or result in taxation which is not in conformity with the provisions of this Convention, he may, irrespective of the remedies of the competent authority of the State Party in which he is established by the competent authority of the State Party in which he resides, his case, irrespective of the remedies available under the domestic law of those States: or, if his case falls within the scope of article 25, paragraph 1, in the case of the State Party of which he is a national. The case must be submitted within three years of the first notification of the measure leading to taxation which does not comply with the provisions of the Agreement. 1. The laws in force in one of the Contracting States shall continue to govern the taxation of income in the Contracting States concerned, except as otherwise provided in this Convention. 2. However, such dividends may also be taxed in the Contracting State in which the company paying the dividends is established and under the laws of that State, but if the beneficial owner of the dividends is established in the other Contracting State, the tax so charged shall not exceed 10% of the gross amount of the dividends. This paragraph shall not affect the taxation of profits on which dividends are paid. 2. In India, double taxation shall be eliminated as follows: 1. The provisions of this Convention shall in no way prevent a State Party from taking the provisions of its domestic law and measures of fiscal evasion or avoidance, whether or not designated as such.
1. In the other State Party, nationals of a State Party may not be subject to any taxation or obligation that is different or more one-sided than the imposition and related requirements to which nationals of that other State are or may be subject in the same circumstances, in particular with regard to the place of residence. Without prejudice to Article 1, this provision shall also apply to persons who are not resident in one or both Contracting States. 4. The competent authorities of the Contracting States may communicate directly with each other with a view to reaching an agreement within the meaning of the preceding paragraphs. If it appears desirable to reach agreement on an oral exchange of views, such exchange may take place through a committee composed of representatives of the competent authorities of the Contracting States. .