https://www.taxtmi.com/caselaws?id=401977 Foreign tax credit under the India-Japan tax treaty is available where Japan withheld tax on an Indian partnership firm's professional fees under a reasonable and bona fide treaty interpretation. Article 23(2)(a) requires that Japanese taxation be in accordance with the treaty. Reading Articles 12(4) and 14 harmoniously, Article 14 applies to individuals and does not prevent Japanese withholding on a partnership firm's fees. Source-country tax cannot be disregarded for credit purposes where its treaty-based position is not manifestly erroneous. The foreign tax credit denial was therefore set aside. en-us Fri, 18 Dec 2020 00:00:00 +0530 Tue, 04 Aug 2026 14:17:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=401977 Foreign tax credit under the India-Japan tax treaty is available where Japan withheld tax on an Indian partnership firm's professional fees under a reasonable and bona fide treaty interpretation. Article 23(2)(a) requires that Japanese taxation be in accordance with the treaty. Reading Articles 12(4) and 14 harmoniously, Article 14 applies to individuals and does not prevent Japanese withholding on a partnership firm's fees. Source-country tax cannot be disregarded for credit purposes where its treaty-based position is not manifestly erroneous. The foreign tax credit denial was therefore set aside. Case-Laws Income Tax Fri, 18 Dec 2020 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=401977