ITAT holds Singapore’s tax residency certificate as proof for tax treaty eligibility

The Delhi bench of the Income-tax Appellate Tribunal (ITAT) has ruled in favor of The Golden State Capital Pte Ltd, a Singapore entity, stating that it is eligible for treaty benefits and therefore exempt from capital gains tax in India. The ITAT emphasized the importance of a tax residency certificate issued by the jurisdiction where the taxpayer is a resident, and also highlighted that the doctrine of substance over form cannot be used to deny treaty benefits. The ITAT also stated that the premium paid for the acquisition of shares should be considered when calculating the cost of acquisition. https://ift.tt/5UJozGq