Meaning of Place of Effective Management (POEM)

POEM - Place of Effective Management

Meaning of Place Of Effective Management (i.e. POEM):- Place of effective management (POEM) is a place where : – Key management, and commercial decisions that are necessary for the conduct of the business of an entity as a whole are, in substance made. “Furthermore, the Place of Effective Management is an globally acceptable test. “Moreover, the purpose of this is to … Read more

Taxability of Income in the hands of RNOR

Taxation of Resident But Not Ordinarily

RNOR-Resident but not Ordinarily Resident : – RNOR stands for Resident but Not Ordinarily Resident(i.e. full form of RNOR).  Section 6(6) of the Income Tax Act 1961 deals with the conditions to determine the status of Residence. These conditions are defined as under: – If he/she has been a non-resident in India for nine out … Read more

Section 91 of Income Tax Act with Example

Section 91 of Income Tax Act with Example

Section 91 of Income Tax Act with Example Countries With Which No Agreement Exists – Unilateral Agreements – Section 91 of Income Tax Act i. Conditions for claiming relief u/s 91(1) of Income Tax Act : – While India has double taxation avoidance agreement with many countries in the world, there may be certain countries,  with … Read more

MCQ on Non Resident Taxation – International Taxation

MCQ on Non Resident Taxation - International Taxation

Non Resident Taxation MCQ International Taxation are covered in this Article. Non Resident Taxation MCQ Test contains 107 questions. Answers to MCQ on Non Resident Taxation are available after clicking on the answer. MCQ on Non Resident Taxation – International Taxation 1.    Which of the following is the basis of taxing Cross – Border transactions: … Read more

Meaning of passive income

Meaning of passive income

Meaning of Passive Income In order to ascertain if a company has a Place of Effective Management in India, the Meaning of passive income is an important criterion. A company shall be said to be engaged in ‘Active Business Outside India’ if amongst other conditions, its passive income is 50% (or less) of its total … Read more

Place of Effective Management Meaning

Place of Effective Management Meaning

Place of Effective Management (POEM) – Meaning When we talk about the meaning of “Place of Effective Management , it is an internationally acceptable test to determine, whether a company incorporated in a foreign jurisdiction, is a tax resident of another country.” Place of effective management means a place where : – Key management, and … Read more