High Court Ruling Confirms Tax Residence Certificate Sufficient to Avail of Treaty Benefits

The Delhi High Court issued its decision in the case of Blackstone Capital Partners (Singapore) VI FDI Three Ltd vs ACIT, which dealt with the taxation of capital gains derived on Indian assets under the grandfathering clause in the India-Singapore tax treaty.

Pursuant to the grandfathering clause, capital gains derived on shares acquired prior to the prescribed 1 April 2017 cut-off date are taxable only in the country of residence of the seller, in casu Singapore. In the case at hand, Blac…