Tax Credit available on Dividend received from Company based in Oman

1. This is the revenue’s appeal, under Section 260-A of the Income Tax Act (“the Act”) for assessment years (AYs) 2010-2011 & 2011-12. Since the issues involved in these appeals are common and identical, these appeals were heard together. The questions of law, framed for the appeal are as follows: (1) Did the ITAT fall into error in holding that the AO’s order was not erroneous in law and prejudicial to the revenue, (2) Did the ITAT err in deciding that dividend income was taxable but exempt under Omani law to entitle the assessee to the benefits of the Indo Oman DT...