Direct Tax Avoidance Agreements

Swiss Confederation

Article 2 : Taxes covered

     1. The taxes to which this Agreement shall apply are :

          (a) in the case of India :

               the income-tax including any surcharge thereon; and

          (b) in the case of Switzerland :

               the federal, cantonal and communal taxes on income (total income, earned income, income from capital, industrial and commercial profits, capital gains, and other items of income).

     2. The Agreement shall also apply to any identical or substantially similar taxes which are imposed by either ContractingState after the date of signature of the present Agreement in addition to, or in place of, the taxes referred to in paragraph 1 of this Article.

     3. In this Agreement, the term "Indian tax" means tax imposed by India, being tax to which this Agreement applies; the term "Swiss tax" means tax imposed in Switzerland, being tax to which this Agreement applies; and the term "tax" means Indian tax or Swiss tax, as the context requires; but the taxes in the preceding paragraphs of this Article do not include any penalty or interest imposed under the law in force in either Contracting State relating to the taxes to which this Agreement applies.

     4. The competent authorities of the Contracting States shall notify to each other any significant changes which have been made in their relevant respective taxation laws.