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of <h1>Croatia-India Agreement on Avoiding Double Taxation Limits Tax Reliefs for Non-Resident Companies Without Substantive Operations</h1> The protocol between the governments of Croatia and India addresses the avoidance of double taxation and prevention of fiscal evasion concerning income taxes. It specifies that a company resident in one Contracting State, where non-residents hold more than 50% of the share capital, is not entitled to tax reliefs on dividends, interest, royalties, and capital gains from the other Contracting State, unless engaged in substantive business operations. However, benefits may be granted if both states' authorities agree that the company's establishment and operations are based on legitimate business reasons. The protocol was signed in Zagreb on February 12, 2014.
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