Tribunal Grants Tax Exemption on Capital Gains, Overturns AO and DRP's Denial of Treaty Benefits Due to Insufficient Evidence.

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....Taxability of capital gain arising on sale of shares under the treaty provisions - AO and DRP have rejected assessee’s claim by holding that assessee being a mere paper company is not entitled to treaty benefits - vague allegations - The tribunal found that the denial of treaty benefits to the assessee was based on vague allegations without substantial evidence and allowed the exemption under Article 13(4) of the tax treaty. - The tribunal allowed the exemption under Article 13(4) of the tax treaty qua the capital gain arising on sale of shares.....