SSC Economics Sample Paper NCERT Sample Paper-5

  • question_answer
    Consider the following statements
    The advantage of DTAA (Double Taxation Avoidance Agreements) are
    1. Lower withholding of taxes (tax deduction at source).
    2. Complete exemption of income from taxes.
    3. Underlying tax credits.
    4. Tax sparing credits.
    Which of the advantages given above are correct?

    A)  1 and 2

    B)  1, 2 and 3

    C)  2 and 3

    D)  All of these

    Correct Answer: D

    Solution :

    [d] The DTAA is essentially a bilateral agreement entered into between two countries. The basic objective is to avoid taxation of income in both the countries and to promote and foster economic trade and investment between the two countries.

You need to login to perform this action.
You will be redirected in 3 sec spinner