<h1>India to Amend Income Tax Act Section 9 to Combat Tax Avoidance, Expand 'Business Connection' Definition in DTAAs.</h1> The Indian government plans to amend section 9 of the Income Tax Act to align with the Multilateral Instrument (MLI) concerning Permanent Establishment (PE) rules in Double Taxation Avoidance Agreements (DTAAs). The amendment will expand the definition of 'business connection' to include activities carried out by agents who habitually conclude contracts or play a principal role in doing so on behalf of non-residents. This change aims to prevent tax avoidance strategies and will take effect from April 1, 2019, applying to the assessment year 2019-20 and beyond. The amendment ensures treaty provisions are effective and consistent with international standards.