https://www.taxtmi.com/caselaws?id=801168 Articles 6 and 7 of the Multilateral Instrument require incorporation into domestic law through a specific notification under section 90(1) before they can modify India-Ireland DTAA benefits. Without such incorporation, the Principal Purpose Test cannot restrict treaty relief. Valid tax residence, commercial substance and cross-border aircraft leasing do not, by themselves, establish a principal purpose contrary to the treaty's object and purpose. Dry-lease rentals for aircraft used in international traffic fall within Article 8(1) where the lessor operates from Ireland and the aircraft is not at its disposal as a fixed place of business; standard lessor protections do not create a permanent establishment. Retained ownership and repossession rights indicate an operating lease, so rentals are not interest income. en-us Tue, 29 Sep 2026 00:00:00 +0530 Fri, 16 Oct 2026 05:20:56 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=801168 Articles 6 and 7 of the Multilateral Instrument require incorporation into domestic law through a specific notification under section 90(1) before they can modify India-Ireland DTAA benefits. Without such incorporation, the Principal Purpose Test cannot restrict treaty relief. Valid tax residence, commercial substance and cross-border aircraft leasing do not, by themselves, establish a principal purpose contrary to the treaty's object and purpose. Dry-lease rentals for aircraft used in international traffic fall within Article 8(1) where the lessor operates from Ireland and the aircraft is not at its disposal as a fixed place of business; standard lessor protections do not create a permanent establishment. Retained ownership and repossession rights indicate an operating lease, so rentals are not interest income. Case-Laws Income Tax Tue, 29 Sep 2026 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=801168