Dtaa Agreement between India and Malaysia

India and Malaysia have signed a Double Taxation Avoidance Agreement (DTAA) in 2012 to promote cross-border investments and boost economic ties between the two countries. DTAA is an agreement signed between two countries to avoid double taxation on the same income in both countries. The agreement aims to provide relief from double taxation for businesses and individuals who are residents of both countries.

The DTAA agreement between India and Malaysia was signed to provide a more transparent and predictable tax system for both countries. The agreement ensures that businesses and individuals are not taxed twice on the same income. The agreement covers all forms of income, including income from dividends, interest, royalties, and capital gains.

The DTAA agreement between India and Malaysia is expected to boost bilateral trade and investment between the two countries. It will also help to reduce the tax burden on businesses and individuals who are residents of both countries. The agreement provides a framework for the exchange of tax-related information between the Indian and Malaysian authorities, which will help to prevent tax evasion and promote transparency in the tax system.

India and Malaysia have a long-standing economic relationship, and the signing of the DTAA agreement is expected to further strengthen this relationship. The agreement will provide more certainty to businesses in terms of their tax liabilities, which will help to encourage foreign investment in both countries.

In conclusion, the signing of the DTAA agreement between India and Malaysia is a positive step towards promoting cross-border investments and strengthening economic ties between the two countries. The agreement will help to reduce the tax burden on businesses and individuals and promote transparency in the tax system. It is expected to boost bilateral trade and investment and provide a more predictable and transparent tax system for both countries.