https://www.taxtmi.com/caselaws?id=764499 ITAT Delhi ruled in favor of a Luxembourg-incorporated limited liability company seeking DTAA benefits. The assessee, a 100% subsidiary of Cayman Islands entities, held valid Tax Residency Certificate and satisfied Article 29 Limitation of Benefits conditions under the India-Luxembourg treaty as modified by MLI. Revenue failed to provide convincing evidence that the assessee acted as a conduit. The tribunal found the company had substantial operational expenditure in Luxembourg, filed tax returns on worldwide income, and conducted genuine investment activities beyond Indian jurisdiction. Following Tiger Global International precedent, ITAT directed AO to grant treaty benefits, establishing that valid TRC and compliance with LOB provisions are sufficient unless revenue proves conduit arrangements with cogent evidence. en-us Mon, 30 Dec 2024 00:00:00 +0530 Fri, 10 Jan 2025 10:37:20 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=764499 ITAT Delhi ruled in favor of a Luxembourg-incorporated limited liability company seeking DTAA benefits. The assessee, a 100% subsidiary of Cayman Islands entities, held valid Tax Residency Certificate and satisfied Article 29 Limitation of Benefits conditions under the India-Luxembourg treaty as modified by MLI. Revenue failed to provide convincing evidence that the assessee acted as a conduit. The tribunal found the company had substantial operational expenditure in Luxembourg, filed tax returns on worldwide income, and conducted genuine investment activities beyond Indian jurisdiction. Following Tiger Global International precedent, ITAT directed AO to grant treaty benefits, establishing that valid TRC and compliance with LOB provisions are sufficient unless revenue proves conduit arrangements with cogent evidence. Case-Laws Income Tax Mon, 30 Dec 2024 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=764499