2021 (3) TMI 204

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..... non-resident shareholder - transaction was designed prima-facie for avoidance of tax - whether the Dividend distribution tax ( DDT ) paid/payable by Comstar Automotive Technologies Private Limited (Comstar or the Applicant or the Company) under the provisions of Section 115-O on dividend paid/payable to Singapore VII Topco III Pte. Ltd. ( Singapore Topco ) and Comstar Mauritius Limited ( Comstar M .....

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..... ised question to avail treaty benefit in respect of its tax liability u/s 115-O of the Act. it cannot be considered as a transaction designed for avoidance of tax. Following that ruling the application is admitted u/s 245 R (2) of the Act The date of next hearing will be intimated in due course.
Narendra Prasad Sinha, Chairman and Ramayan Yadav, Member (Law) S.K. Aggarwal, Adv. for the Applica .....

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..... and circumstances of the case and in law, the Applicant, being a resident of India, is entitled to apply the lower tax rate of 10% provided under Article 10 of India-Singapore DTAA' and 5% under Article 10 of India-Mauritius DTAA' in respect of DDT payable on dividend paid to Singapore Topco and Comstar Mauritius respectively under Section 115- O of the Act. Q3. On the fact and circumst .....

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..... , respectively applicable on dividends paid to its foreign shareholders (Singapore Topco and Comstar Mauritius) out of such foreign dividends. Q5. If the Applicant is entitled to any refund of excess DDT paid as per Questions 3 and 4 above, whether the Applicant would be entitled to interest on such refund as per Section 244A of the Act. 2. The report of the CIT has been received vide letter da .....

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..... x by any illegal or improper means. The objection of the Department is found to be rather on merits of the questions raised in the present application. An Identical issue was considered by us in the case of Signify Innovations India Private Limited (AAR/NCR/02/2019) dated 10/12/2020 wherein it has been held that, if the applicant has raised question to avail treaty benefit in respect of its tax li .....

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