https://www.taxtmi.com/caselaws?id=249642 Where Indian operations form an integral part of a turnkey supply arrangement involving negotiation, supply, installation, testing and commissioning, a foreign enterprise may be treated as having a permanent establishment in India under Article 5 of the Indo-US DTAA. On those facts, the Tribunal upheld attribution of 50% of the profits from hardware supply to the Indian permanent establishment, applying the group's global profit structure and expenses relatable to the Indian operations, including selling, general and administrative expenses. The issue of research and development expenses was sent back for fresh examination because the nature and allowability of the expenditure required proper verification and hearing. en-us Fri, 13 Jun 2014 00:00:00 +0530 Sat, 19 Jul 2014 08:38:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=249642 Where Indian operations form an integral part of a turnkey supply arrangement involving negotiation, supply, installation, testing and commissioning, a foreign enterprise may be treated as having a permanent establishment in India under Article 5 of the Indo-US DTAA. On those facts, the Tribunal upheld attribution of 50% of the profits from hardware supply to the Indian permanent establishment, applying the group's global profit structure and expenses relatable to the Indian operations, including selling, general and administrative expenses. The issue of research and development expenses was sent back for fresh examination because the nature and allowability of the expenditure required proper verification and hearing. Case-Laws Income Tax Fri, 13 Jun 2014 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=249642