The Double Taxation Avoidance Agreement (DTAA) signed between India and Nigeria is a crucial development that is aimed at promoting economic cooperation between the two countries. The agreement seeks to address a long-standing issue of double taxation that has been affecting businesses operating in both countries.

The DTAA will help in avoiding the incidence of double taxation by allowing businesses and individuals to pay taxes only once on their income. This will help to reduce the tax burden on businesses and individuals and encourage cross-border investments and trade. The agreement will apply to taxes on income earned in India or Nigeria and covers taxes on income from dividends, interest, royalties, and capital gains.

One of the key benefits of the DTAA is that it provides for the exchange of information between the tax authorities of India and Nigeria. This will help to prevent tax evasion and avoid double taxation of the same income. The agreement also provides for the resolution of disputes relating to the interpretation and application of the agreement through mutual agreement procedures.

The DTAA will benefit businesses and individuals operating in India and Nigeria by providing a clear and predictable tax regime. This will help to increase the confidence of investors and promote economic growth in both countries. The agreement will also help to strengthen the economic ties between India and Nigeria and promote the flow of investments and trade between the two countries.

In conclusion, the Double Taxation Avoidance Agreement between India and Nigeria is a significant development that is aimed at promoting economic cooperation between the two countries. The agreement will help to avoid the incidence of double taxation and provide a clear and predictable tax regime for businesses and individuals operating in both countries. The DTAA will also help to strengthen the economic ties between India and Nigeria and promote the flow of investments and trade between the two countries.