https://www.taxtmi.com/caselaws?id=291288 A computer reservation system operated through subscriber premises in India was treated as creating a permanent establishment under the India-Spain tax treaty, both as a fixed place of business and through a dependent agent arrangement. The Indian entity was found to work under the assessee's control and habitually conclude contracts on its behalf, so the PE finding was sustained. However, only profits attributable to that PE could be taxed in India after allowing deductions for expenses, and the remuneration paid to the Indian agent exceeded the attributed income. As a result, no taxable income survived in India, and the related claim for project development expenses and interest under sections 234A and 234B did not survive. en-us Wed, 16 Nov 2016 00:00:00 +0530 Thu, 05 Nov 2020 12:20:58 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=291288 A computer reservation system operated through subscriber premises in India was treated as creating a permanent establishment under the India-Spain tax treaty, both as a fixed place of business and through a dependent agent arrangement. The Indian entity was found to work under the assessee's control and habitually conclude contracts on its behalf, so the PE finding was sustained. However, only profits attributable to that PE could be taxed in India after allowing deductions for expenses, and the remuneration paid to the Indian agent exceeded the attributed income. As a result, no taxable income survived in India, and the related claim for project development expenses and interest under sections 234A and 234B did not survive. Case-Laws Income Tax Wed, 16 Nov 2016 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=291288