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The Economic Times

Economy / The Economic Times

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India amends tax treaty with France, drops most favoured nation clause

India and France have updated their tax treaty. This agreement changes how dividends are taxed between the two nations. French companies with large stakes in Indian firms will see a lower tax on dividends. However, smaller French shareholdings in India will face a higher dividend tax. These changes aim for clearer tax rules and better cooperation.

23 Feb 2026 1:32 pm