https://www.taxtmi.com/caselaws?id=213352 Professional-service income received by a China-based entity for architectural work is governed by the India-China tax treaty where the recipient has no permanent establishment or fixed base in India. Services rendered from China in those circumstances are not taxable in India, so no tax deduction at source obligation arises. Interest disallowance relating to alleged interest-free advances to sister concerns requires examination of the advances' true nature, the source of funds, and whether the advances served commercial expediency. A final interest deduction position cannot rest solely on assumptions about available non-interest-bearing funds. en-us Mon, 14 May 2012 00:00:00 +0530 Sat, 19 May 2012 06:14:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=213352 Professional-service income received by a China-based entity for architectural work is governed by the India-China tax treaty where the recipient has no permanent establishment or fixed base in India. Services rendered from China in those circumstances are not taxable in India, so no tax deduction at source obligation arises. Interest disallowance relating to alleged interest-free advances to sister concerns requires examination of the advances' true nature, the source of funds, and whether the advances served commercial expediency. A final interest deduction position cannot rest solely on assumptions about available non-interest-bearing funds. Case-Laws Income Tax Mon, 14 May 2012 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=213352