https://www.taxtmi.com/caselaws?id=118589 Receipts from supervisory, commissioning and allied services rendered through a permanent establishment were treated as business profits under Article 7 of the Indo-UK DTAA rather than fees for technical services under domestic law. The note explains that, even if the services could fall within the wider domestic definition in Explanation 2 to section 9(1)(vii), the treaty characterization as business profits governed, so section 44D did not restrict deduction of expenses. It also records the principle that, where two views are possible, the interpretation favourable to the assessee may be adopted. The net basis computation with expense deduction was therefore upheld. 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 were treated as business profits under Article 7 of the Indo-UK DTAA rather than fees for technical services under domestic law. The note explains that, even if the services could fall within the wider domestic definition in Explanation 2 to section 9(1)(vii), the treaty characterization as business profits governed, so section 44D did not restrict deduction of expenses. It also records the principle that, where two views are possible, the interpretation favourable to the assessee may be adopted. The net basis computation with expense deduction was therefore upheld. Case-Laws Income Tax Wed, 30 Nov 2005 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=118589