https://www.taxtmi.com/caselaws?id=385534 A Cyprus-incorporated assessee held a valid tax residency certificate, invested in compulsorily convertible debentures on its own account, and retained control over the interest received. On these facts, it was treated as the beneficial owner because there was no contractual, legal, or economic obligation to pass the income to another person, and shareholder funding alone did not negate beneficial ownership. The revenue also failed to show any lack of exclusive possession, control, or economic substance. Treaty relief under Article 11 of the India-Cyprus DTAA was therefore available, and denial of the beneficial rate was unsustainable. en-us Wed, 28 Aug 2019 00:00:00 +0530 Fri, 06 Sep 2019 13:04:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=385534 A Cyprus-incorporated assessee held a valid tax residency certificate, invested in compulsorily convertible debentures on its own account, and retained control over the interest received. On these facts, it was treated as the beneficial owner because there was no contractual, legal, or economic obligation to pass the income to another person, and shareholder funding alone did not negate beneficial ownership. The revenue also failed to show any lack of exclusive possession, control, or economic substance. Treaty relief under Article 11 of the India-Cyprus DTAA was therefore available, and denial of the beneficial rate was unsustainable. Case-Laws Income Tax Wed, 28 Aug 2019 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=385534