Interest Income as ‘Beneficial owner’ cannot be taxed under Article 11(3)(c) of India-Mauritius Tax Treaty

DCIT Vs HSBC Bank (Mauritius) Ltd. (ITAT Mumbai) The issue under consideration is whether as per India-Mauritius DTAA, Interest Income from Foreign Currency loan and Securities would be eligible to tax in India? In the present case, the assessee, is a limited liability company incorporated, registered and a tax resident in Mauritius are a Foreign Institutional Investor (FII) duly registered as such by the Securities and Exchange Board of India (SEBI). The assessee had e-filed its return of income for Assessment Year, declaring its total income at Rs. Nil. Subsequently, the case of the assessee...