Revisiting India Mauritius DTAA. The Legal Position on the 2024 Protocol

The Protocol replaces the DTAA’s Preamble and inserts Article 27B, permitting denial of treaty benefits where obtaining them was one of the principal purposes of an arrangement or transaction, subject to an exception based on the object and purpose of the relevant treaty provisions. While the existing tax rates and allocation rules remain unchanged, the interaction of the PPT with the 2016 capital-gains grandfathering framework and its application to earlier taxable periods require careful legal analysis.