It is essential to mention that, international tax planning is the procedure of managing business transactions between two or more nation(s), with appropriate understanding of international taxation policies to attain a business friendly atmosphere, which promotes effortless cross-border navigation of goods and services.

Please note that, international tax planning mechanism is not limited to reducing/saving of tax unlike domestic tax planning module, rather it also focuses tax incentives and foreign tax credits.

The most important factor is to avoid double taxation, for instance under Section 91 of the Income Tax Act, 1961 there is no double taxation relief for an Indian resident who has generated income is some nation, with whom India has not signed any treaty or agreement.

Also India has signed tax treaties with various nations as such an organization is entitled to claim credit of tax paid in one country against tax payable in another country.

Moreover, for an organization operative in India, the transactions with a foreign entity should always be conducted on the principles of Arm’s Length Price for avoiding any business contingencies.

Our international tax planning and consultancy has a wide range of professionals having tremendous expertise in the domain of finance and taxation for a span ranging more than 20 years.