In the event of a conflict between the provisions of the Income Tax Act or the Double Taxation Convention, their provisions apply. The revised Convention on the Prevention of Double Taxation between India and Cyprus, signed on 18 November 2016, provides for a tax on capital gains from the disposal of shares instead of a home-related tax under the Convention on the Prevention of Double Taxation, signed in 1994. However, a grandfather clause is provided for investments made before April 1, 2017 and for which capital gains continue to be taxed in the country where the taxpayer is based. It also provides assistance between the two countries for the collection of taxes and updates the provisions on the exchange of information to recognized international standards. In recent years [when?], the evolution of foreign investment by Chinese companies has increased rapidly and has developed quite influentially. As a result, cross-border tax treatment is becoming one of China`s major financial and commercial projects, and cross-border tax problems are growing. In order to solve these problems, multilateral tax treaties between countries that can legally help businesses on both sides avoid double taxation and find solutions to tax issues are put in place. In order to implement China`s “comprehensive” strategy and to help domestic companies adapt to globalization, China has committed to promoting and signing multilateral tax agreements with other countries in order to achieve common interests. At the end of November 2016, China officially signed 102 double taxation agreements. 98 of them have already come into force. In addition, China has signed an agreement to avoid double taxation with Hong Kong and the Macao Special Administrative Region. China also signed an agreement in August 2015 to avoid double taxation with Taiwan, which has not yet entered into force.
According to the Chinese tax administration, the first agreement to avoid double taxation was signed with Japan in September 1983. The last agreement was signed with Cambodia in October 2016. With regard to the situation of state disorganization, China would continue the agreement signed after the disruption. For example, in June 1987, China signed for the first time an agreement to avoid double taxation with the Socialist Republic of Czechoslovakia. In 1990, Czechoslovakia was divided into two countries, the Czech Republic and the Slovak Republic, and the initial agreement with the Czechoslovakian Socialist Republic was continuously used in two new countries. In August 2009, China signed the new agreement with the Czech Republic. And when it comes to the particular case of Germany, China continued to conclude the agreement with the Federal Republic of Germany after the reunification of two Germanys. China has signed an agreement with many countries to avoid double taxation. Among them, it is not only countries that have made significant investments in China, but also countries that, as beneficiaries well in relation to Chinese investments.
In terms of the number of agreements, China is now only the United Kingdom. For countries that have not signed agreements to avoid double taxation with China, some of them have signed information exchange agreements with China.  (During a transitional period, some states have a separate agreement. You can offer any non-resident account holder the choice of tax terms: either (a) disclosure of information such as above, or b) deduction of local tax on income from savings at source, as is the case for residents). The double taxation agreement came into force on March 31, 2003 and was amended by a protocol signed on July 19, 2002. Within the European Union, Member States have concluded a multilateral agreement on the exchange of information.  This means that they will provide each (its counterparts in the other jurisdiction) with a list of persons who have applied for exemption from local taxation because they are not established in the state where the income is generated.