https://www.taxtmi.com/caselaws?id=246733 A permanent establishment under Article 5 of the India-Mauritius DTAA depends on a fixed place of business at the foreign enterprise's disposal and a factual, functional link to business carried on through that place; on the stated facts, continuous India-based activity through consultants, meetings, training, reviews and project implementation supported PE existence. Profit attribution was treated as a separate economic-nexus inquiry requiring fresh determination where not previously examined. On expenditure, treaty-based allowance of salary-related and head-office was accepted in principle, while verification-based disallowance of direct expenditure for A.Y. 1997-98 was sustained for lack of vouchers. Indirect expenditure allocation was accepted in principle on a reasonable basis under Article 7(3), subject to verification. en-us Fri, 11 Apr 2014 00:00:00 +0530 Mon, 21 Apr 2014 09:53:09 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=246733 A permanent establishment under Article 5 of the India-Mauritius DTAA depends on a fixed place of business at the foreign enterprise's disposal and a factual, functional link to business carried on through that place; on the stated facts, continuous India-based activity through consultants, meetings, training, reviews and project implementation supported PE existence. Profit attribution was treated as a separate economic-nexus inquiry requiring fresh determination where not previously examined. On expenditure, treaty-based allowance of salary-related and head-office was accepted in principle, while verification-based disallowance of direct expenditure for A.Y. 1997-98 was sustained for lack of vouchers. Indirect expenditure allocation was accepted in principle on a reasonable basis under Article 7(3), subject to verification. Case-Laws Income Tax Fri, 11 Apr 2014 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=246733