https://www.taxtmi.com/caselaws?id=361574 Consultancy receipts earned through an Indian branch office were treated as effectively connected with the permanent establishment because the contracts were negotiated and signed in India, invoices were raised by the branch, bank accounts were operated through it, and the operational work was carried out in India. On that basis, the receipts were taxable on a net basis under section 44DA rather than on a gross basis under section 115A. The tribunal also noted that where payments to the non-resident were subject to tax deduction at source under section 195, no advance tax liability arose for section 234B purposes, so interest for default in advance tax could not be levied. The revenue's challenge failed. en-us Tue, 29 May 2018 00:00:00 +0530 Sat, 09 Jun 2018 08:46:25 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=361574 Consultancy receipts earned through an Indian branch office were treated as effectively connected with the permanent establishment because the contracts were negotiated and signed in India, invoices were raised by the branch, bank accounts were operated through it, and the operational work was carried out in India. On that basis, the receipts were taxable on a net basis under section 44DA rather than on a gross basis under section 115A. The tribunal also noted that where payments to the non-resident were subject to tax deduction at source under section 195, no advance tax liability arose for section 234B purposes, so interest for default in advance tax could not be levied. The revenue's challenge failed. Case-Laws Income Tax Tue, 29 May 2018 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=361574