Tax
DTAA
Also known as: Double Taxation Avoidance Agreement, Tax Treaty
Double Taxation Avoidance Agreement between countries to prevent double taxation of income.
Detailed Explanation
DTAA (Double Taxation Avoidance Agreement) is a treaty between two countries to avoid taxing the same income twice. For Indians working abroad, DTAA allows claiming foreign tax as credit against Indian tax liability. The India-UAE DTAA helps Dubai residents avoid double taxation on income that's taxed in both countries. Credit is typically limited to the lower of the Indian tax or foreign tax paid.