India and Belgium Sign Double Taxation Avoidance Agreement
India and Belgium recently signed a Double Taxation Avoidance Agreement (DTAA) to prevent tax evasion and promote economic cooperation between the two countries. This agreement, which was signed on 22nd March 2021, replaces the existing DTAA signed between the two countries in 1993.
The new DTAA includes provisions for the exchange of information between the tax authorities of India and Belgium. This will help to prevent tax evasion by individuals and companies who do business in both countries. The agreement also provides for the reduction of withholding tax rates on dividends, interest, and royalties.
The DTAA will benefit Indian businesses operating in Belgium and Belgian businesses operating in India. It will also promote investment between the two countries by providing greater tax certainty and reducing the tax burden on cross-border transactions.
The signing of this agreement is a positive step towards strengthening the economic ties between India and Belgium. The two countries have already been working together in various areas such as trade, investment, and technology. The cooperation between India and Belgium has the potential to contribute significantly to the growth and development of both countries.
India has been signing DTAA agreements with various countries to promote cross-border trade and investment. The agreements are aimed at providing a transparent and predictable tax environment for businesses and individuals. The DTAA agreements also reduce the risk of double taxation, which can be a significant barrier to cross-border transactions.
Belgium is an important economic partner for India in Europe. The two countries have been working together in various areas such as renewable energy, life sciences, and research and development. The signing of the new DTAA will further strengthen the economic cooperation between the two countries.
In conclusion, the signing of the India Belgium Double Taxation Avoidance Agreement is a positive move towards strengthening the economic ties between India and Belgium. The agreement will provide greater tax certainty and reduce the tax burden on cross-border transactions, which will benefit businesses and individuals in both countries. The DTAA will also promote investment between the two countries, which has the potential to contribute significantly to the growth and development of both countries.