Elimination of double taxation: foreign tax credit reduces resident's domestic tax liability where income is taxed abroad.

Article 23 requires relief from double taxation by permitting residents to deduct foreign income tax paid in the other Contracting State from their domestic tax liability. India allows deduction for tax paid in Jordan up to the part of Indian tax attributable to the income taxable in Jordan; Jordan allows a corresponding deduction for tax paid in India. Taxes include amounts that would have been payable but for domestic tax incentives, and income exempt under the Convention may be considered in computing the domestic tax rate.

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