Agreement between the Government of the Republic of India and the Government of the Republic of India and the Government of the Republic of Turkey for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes - 10264 - Income Tax

Double taxation avoidance treaty principles allocate taxing rights by residence, permanent establishment and specified source rules.

The Agreement between India and Turkey, given effect under section 90 of the Income-tax Act, applies to residents of one or both Contracting States and to taxes on income (including specified existing and substantially similar future taxes). It defines residency and permanent establishment rules (including tie-breakers for dual residence), allocates taxation rights primarily to the State of residence with source-State taxation where nexus exists (immovable property, permanent establishments, shipping/air transport, dividends, interest, royalties, capital gains), prescribes withholding limitations and exemptions, and provides for elimination of double taxation, non-discrimination, exchange of information and a mutual agreement procedure. A Protocol further clarifies definitional and attribution rules and limits on head-office deductions for permanent establishments in India.