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of <h1>Directors' fees and managerial salaries may be taxed in the company's state under Double Tax Avoidance Agreement provisions.</h1> Directors' fees and similar payments received by a resident of one contracting state, as a board member of a company residing in the other contracting state, may be taxed in that other state. Similarly, salaries, wages, and other remuneration for residents holding top-level managerial positions in companies of the other contracting state may also be subject to taxation in that state. These provisions are part of the Double Tax Avoidance Agreement (DTAA) between the two states, aimed at preventing double taxation on income derived from cross-border managerial roles.
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