Switzerland has suspended India's Most Favoured Nation (MFN) status effective January 1, 2025, citing a 2023 Supreme Court ruling regarding the Double Taxation Avoidance Agreement (DTAA) with Nestle. The Court determined that benefits from other countries' DTAAs cannot be claimed by Switzerland unless its own agreement is amended and notified under Indian law. This decision underscores the necessity of reciprocity in international tax treaties.
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