https://www.taxtmi.com/caselaws?id=328551 Commission paid to non-resident agents for procuring export orders outside India was held not chargeable to tax in India where the agents rendered services entirely outside India and no business activity in India was established under Explanation 2 to section 9(1)(i). The applicable DTAA treated the agents' business profits as taxable only in their State of residence unless they carried on business in India through a permanent establishment, and no such permanent establishment was found. Because section 90(2) gives effect to the more beneficial treaty position, the treaty prevailed over domestic law, so tax deduction at source under section 195 did not arise. en-us Fri, 29 Apr 2016 00:00:00 +0530 Sat, 22 Apr 2017 13:54:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=328551 Commission paid to non-resident agents for procuring export orders outside India was held not chargeable to tax in India where the agents rendered services entirely outside India and no business activity in India was established under Explanation 2 to section 9(1)(i). The applicable DTAA treated the agents' business profits as taxable only in their State of residence unless they carried on business in India through a permanent establishment, and no such permanent establishment was found. Because section 90(2) gives effect to the more beneficial treaty position, the treaty prevailed over domestic law, so tax deduction at source under section 195 did not arise. Case-Laws Income Tax Fri, 29 Apr 2016 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=328551