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of <h1>Article 23 of Portugal-India DTAA: Methods to Eliminate Double Taxation on Income, Dividends, Interest, and Royalties.</h1> Article 23 of the Double Taxation Avoidance Agreement (DTAA) between Portugal and India outlines methods to eliminate double taxation. For residents of Portugal, income taxed in India will be deductible from Portuguese taxes, limited to the portion attributable to the Indian income. Similarly, Indian residents can deduct Portuguese taxes from their Indian tax liability, with similar limitations. Both countries can consider exempted income when calculating taxes on remaining income. Taxes on dividends, interest, royalties, and business profits are included in the tax paid, with provisions for tax reduction or exemption to encourage investment, applicable for seven years, extendable by mutual agreement.
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