https://www.taxtmi.com/caselaws?id=118589 Receipts from supervisory, commissioning and allied services rendered through a permanent establishment fall for taxation as business profits under Article 7 of the Indo-UK DTAA where the contractual activities are attributable to that establishment. Technical input in consultancy or supervisory work does not by itself characterise the receipts as fees for technical services. Consequently, the domestic restriction on expense deductions for fees for technical services under section 44D does not apply where treaty-based business-profit computation governs. The income is therefore computable on a net basis after deduction of relevant expenses; where two interpretations remain possible, the interpretation favourable to the assessee applies. en-us Wed, 30 Nov 2005 00:00:00 +0530 Tue, 02 Apr 2024 18:40:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=118589 Receipts from supervisory, commissioning and allied services rendered through a permanent establishment fall for taxation as business profits under Article 7 of the Indo-UK DTAA where the contractual activities are attributable to that establishment. Technical input in consultancy or supervisory work does not by itself characterise the receipts as fees for technical services. Consequently, the domestic restriction on expense deductions for fees for technical services under section 44D does not apply where treaty-based business-profit computation governs. The income is therefore computable on a net basis after deduction of relevant expenses; where two interpretations remain possible, the interpretation favourable to the assessee applies. Case-Laws Income Tax Wed, 30 Nov 2005 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=118589