India-Oman Taxation Treaty and Economic Partnership

Amendment of Double Taxation Avoidance Agreement (DTAA)

• India and Oman signed an agreement to amend their DTAA, aiming to align it with international standards on cross-border taxation.
• The DTAA is designed to prevent double taxation and fiscal evasion related to income taxes.
• The protocol to amend the tax treaty was signed during Commerce and Industry Minister Piyush Goyal's visit to Oman.

Comprehensive Economic Partnership Agreement (CEPA)

• During the visit, Goyal and Oman's counterpart, Qais bin Mohammed Al Yousef, agreed to expedite discussions for an early signing of the CEPA.
• The CEPA is considered a potential milestone in bilateral trade relations, with the ability to significantly enhance two-way trade and investments.
• Formal negotiations for the India-Oman CEPA began in November 2023 but faced a deadlock before nearing finalization.

Joint Commission Meeting (JCM) and Bilateral Relations

• Both ministers co-chaired the 11th Session of the India-Oman JCM, discussing improvements in mutual cooperation across various sectors including trade, investment, technology, and renewable energy.
• A detailed review of bilateral trade and economic relations was conducted, with steps identified to strengthen business ties.
• Goyal met with a group of CEOs and business leaders in Oman to further business collaborations.

Bilateral Trade Overview

• Oman ranks as India's 30th largest trade partner and the third-largest export destination among the GCC countries, following UAE and Saudi Arabia.
• Bilateral trade between India and Oman was valued at $8.9 billion in the fiscal year 2023-24.