On 27 June 2016, India's Central Board of Direct Taxes issued Notification No. 54/2016, which includes the rules for foreign tax credits (Rule 128), which is inserted into the Income-tax Rules, 1962. The mail aspects of Rule 128 are summarized as follows.

Tax Credit Availability

Rule 128 includes that an Indian resident taxpayer is to be allowed a credit for the amount of foreign taxes paid,…