On 6 May 2014, the Indian government issued a press release stating that the Indian Cabinet had approved the revision of the 1985 income tax treaty with South Korea. Several revisions will be made, including:
- Providing for source based taxation of capital gains;
- Adding provisions for making adjustments to profits of associated enterprises on the basis of arm's length principle;
- Providing for residence based taxation of shipping income;
- Adding provisions for service permanent establishments;…