https://www.taxtmi.com/caselaws?id=203847 The expression "liable to tax" in the India-UAE treaty was interpreted to include a legal liability to taxation, even where no actual tax was levied in the UAE. Read with Section 90 of the Income-tax Act, the treaty operates by allocating taxing rights and does not require proof of tax payment in both States. The relevant test was whether the assessee had fiscal domicile and a sufficient legal nexus with the UAE to be treated as resident there for treaty purposes. On that basis, treaty eligibility was accepted and the income was held not taxable in India on the Revenue's objection. en-us Thu, 30 Sep 2010 00:00:00 +0530 Wed, 08 Aug 2012 14:48:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=203847 The expression "liable to tax" in the India-UAE treaty was interpreted to include a legal liability to taxation, even where no actual tax was levied in the UAE. Read with Section 90 of the Income-tax Act, the treaty operates by allocating taxing rights and does not require proof of tax payment in both States. The relevant test was whether the assessee had fiscal domicile and a sufficient legal nexus with the UAE to be treated as resident there for treaty purposes. On that basis, treaty eligibility was accepted and the income was held not taxable in India on the Revenue's objection. Case-Laws Income Tax Thu, 30 Sep 2010 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=203847