https://www.taxtmi.com/caselaws?id=327390 Fees for technical services earned for supervising installation of equipment were taxable under article 12(2) of the India-Japan DTAA at 20% because article 12(5) applied only where the services were effectively connected with a permanent establishment in India. The supervision contracts were separate from the supply contracts, each supervision period did not exceed six continuous months, and the liaison office merely facilitated communication. The project office for other contracts was not shown to have an effective connection with these fees, and the treaty did not permit aggregation of supervision periods to create a permanent establishment. The tax treatment under the beneficial treaty article therefore prevailed. en-us Mon, 16 Nov 2015 00:00:00 +0530 Mon, 09 May 2016 22:38:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=327390 Fees for technical services earned for supervising installation of equipment were taxable under article 12(2) of the India-Japan DTAA at 20% because article 12(5) applied only where the services were effectively connected with a permanent establishment in India. The supervision contracts were separate from the supply contracts, each supervision period did not exceed six continuous months, and the liaison office merely facilitated communication. The project office for other contracts was not shown to have an effective connection with these fees, and the treaty did not permit aggregation of supervision periods to create a permanent establishment. The tax treatment under the beneficial treaty article therefore prevailed. Case-Laws Income Tax Mon, 16 Nov 2015 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=327390