The Central Board of Direct Taxes (CBDT) announced that no withholding tax will apply on interest payments made by an Indian company or a business trust to a non-resident in respect of offshore rupee-denominated bonds issued between September 17, 2018 and March 31, 2019.
The move is expected to incentivise foreign exchange inflows into India through low-cost offshore rupee-denominated bonds, popularly referred to as masala bonds. Legislative amendments in this regard will be done in due course.
Source- The Hindu Business Line
Static/Current Takeaways Important for Indian Bank PO Exam 2018-
- Sushil Chandra is the chairman of Central Board of Direct Taxes.