New Delhi: Switzerland announced that it will suspend the most favoured nation (MFN) clause in its Double Tax Avoidance Agreement (DTAA) with India effective January 1, 2025, in a move that may raise the tax outgo on dividend income for Indian entities operating in the European country. The decision follows India’s Supreme Court ruling in...
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Switzerland revokes MFN status to India over SC Nestle order – Times of India
NEW DELHI: Retaliating against a 2023 Supreme Court ruling related to Nestle, Switzerland has withdrawn the most-favoured-nation clause to India under the double tax avoidance agreement, a move that will hit Indian companies invested in the European nation.“For dividends due from and including Jan 1, 2025, the residual tax rate in the source State is...
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India’s DTAA with Switzerland may require renegotiation: MEA
India on Friday said its double taxation treaty with Switzerland may require renegotiation in view of its trade pact with the member states of the European Free Trade Association (EFTA). The remarks by the spokesperson of the Ministry of External Affairs (MEA) came after the Swiss government suspended the most favoured nation status (MFN) clause...
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Switzerland suspends most favoured nation status to India, cites Nestle verdict – Times of India
The Swiss authorities have suspended the most favoured nation status (MFN) provision in the Double Taxation Avoidance Agreement (DTAA) with India, which could affect Swiss investments in India and raise taxes for Indian firms operating in Switzerland. A December 11 statement from the Swiss finance department indicates this decision follows an Indian Supreme Court ruling...
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India-Switzerland Tax Treaty Faces Renegotiation Amid Trade Developments | Business
The Indian government announced on Friday that it might need to renegotiate its double taxation treaty with Switzerland. This consideration comes in light of a recent trade agreement between India and the European Free Trade Association (EFTA) countries, which include Switzerland. The Ministry of External Affairs (MEA) spokesperson, Randhir Jaiswal, confirmed the likelihood of...
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Bad news for India as Switzerland revokes this special status to India due to…
Home Business Bad news for India as Switzerland revokes this special status to India due to… According to the statement, in 2021, the Delhi High Court in the Nestle case upheld the applicability of the residual tax rates after taking into account the MFN clause in the double taxation avoidance treaty. The Switzerland government has...
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MFN clause suspension by Switzerland: India needs strategic approach for int’l taxation treaties, says GTRI
New Delhi: The suspension of the MFN (most favoured nation) clause by Switzerland underscores the need for India to adopt a more consistent and strategic approach to international taxation treaties, think tank GTRI said on Friday. This suspension introduces tax challenges for Indian firms operating in Switzerland, particularly in sectors like financial services, pharmaceuticals, and...
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Switzerland Revokes India’s MFN Status
Mumbai: Switzerland has suspended the Most-Favoured-Nation (MFN) status granted to India that could lead to higher taxes on Indian companies operating in the European nation. Switzerland cited an adverse court ruling against Nestlé for the avoidance of double taxation concerning taxes on income. Effective January 1, 2025, Indian companies operating in Switzerland will be subjected...
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Switzerland Ends India’s ‘Most Favoured Nation’ Status Amid Nestle Tax Dispute
Switzerland withdrew the ‘Most Favoured Nation’ status granted to India, a 30-year old double taxation agreement between the two countries, in a move that would result in Indian entities operating in the European nation to pay higher taxes from January. The decision followed an adverse court ruling against Nestle. The suspension of the MFN clause...
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Switzerland Withdraws MFN Status from India: What It Means for Indian Businesses – Industry News
Switzerland has decided to withdraw the Most Favoured Nation (MFN) status granted to India, a move that will have significant tax implications for Indian companies operating in the European nation. This decision comes after an adverse ruling from the Indian Supreme Court regarding a tax dispute involving Nestlé, the Swiss food giant headquartered in Vevey....
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Switzerland withdraws tax MFN status on Indian companies
NEW DELHI: In a retaliatory action, the government of Switzerland has withdrawn the application of the Most Favoured Nation (MFN) clause on Indian entities operating in the European country. The Swiss authorities took the action after the Supreme Court of India rejected automatic applicability of MFN clause under the bilateral tax treaty between the two...
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Switzerland suspends MFN clause with India under tax treaty, cites SC ruling in Nestle
Switzerland has announced the suspension of the most favoured nation (MFN) status granted to India following an adverse court ruling against Nestle. This means increased tax liabilities for Indian entities operating in Switzerland. From January 1, 2025, Indian companies will be subject to a higher withholding tax on income generated in Switzerland. The decision follows a ruling...