https://www.taxtmi.com/caselaws?id=397177 Payments for web promotion, social media management and related online services were examined under both domestic law and the India-US DTAA, with treaty provisions prevailing where more beneficial. Under Article 12(4), fees for included services arise only where the service is ancillary to royalty or makes available technical knowledge, experience, skill, know-how or a technical plan or design. The services here were online promotional and hosting activities performed through servers outside India, and no technical knowledge or know-how was made available to the assessee. The remittance was therefore not taxable in India under the DTAA, no tax deduction obligation arose under section 195, and disallowance under section 40(a)(ia) could not be sustained. en-us Thu, 09 Jul 2020 00:00:00 +0530 Fri, 07 Aug 2020 07:43:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=397177 Payments for web promotion, social media management and related online services were examined under both domestic law and the India-US DTAA, with treaty provisions prevailing where more beneficial. Under Article 12(4), fees for included services arise only where the service is ancillary to royalty or makes available technical knowledge, experience, skill, know-how or a technical plan or design. The services here were online promotional and hosting activities performed through servers outside India, and no technical knowledge or know-how was made available to the assessee. The remittance was therefore not taxable in India under the DTAA, no tax deduction obligation arose under section 195, and disallowance under section 40(a)(ia) could not be sustained. Case-Laws Income Tax Thu, 09 Jul 2020 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=397177