Article 24 - Elimination of double taxation - Belarus

ARTICLE 24 ELIMINATION OF DOUBLE TAXATION 1. The laws in force in either of the Contracting States shall continue to govern the taxation of income and property (capital) on the respective Contracting States except where express provision to the contrary is made in this Agreement. 2. In the case of India, double taxation shall be eliminated as follows : Where a resident of India derives income or owns capital which, in accordance with the provisions of this Agreement, may be taxed in the Republic of Belarus, India shall allow as a deduction from the tax on the income of that resident an amount equal to the income-tax paid in the Republic of Belarus whether directly or by deduction; and as a deduction from the tax on the capital of that resident an amount equal to the property (capital) tax paid in the Republic of Belarus. Such deduction in either case shall not, however, exceed that part of the income-tax or capital tax (an computed before the deduction is given) which is attributable, as the case may be, to the income or the capital which may be taxed in the Republic of Belarus. 3. In the case of the Republic of Belarus, double taxation shall be eliminated as follows : Where a resident of the Republic of Belarus derives income which, in accordance with the provisions of this Agreement, may be taxed in India, the Republic of Belarus shall allow as a deduction from the tax on the income of that resident, an amount equal to the income-tax paid in India; and as a deduction from the tax on the property (capital) of that resident, an amount equal to the capital tax paid in India. Such deduction shall not, however, exceed that part of the income-tax or property (capital) tax, as computed before the deduction is given, which is attributable, as the case may be, to the income or the property (capital) which may be taxed in India. 4. The tax payable in the Contracting State mentioned in paragraphs 2 and 3 of this Article shall be deemed to include the tax which would have been payable but for the tax incentives granted under the laws of the Contracting State and which are designed to promote economic development. 5. Income which in accordance with the provisions of this Agreement, is not to one subjected to tax in a Contracting State, may be taken into account for calculating the rate of tax to be imposed in that Contracting State.