https://www.taxtmi.com/caselaws?id=410785 Receipts under a Master Services Agreement were held not to constitute royalty or fees for included services under the India-USA DTAA. The Tribunal treated the amounts as business profits and held that, in the absence of a permanent establishment in India, they were not taxable in India. The challenge to Rule 10 allocation on a 90:10 basis therefore failed on merits. Ancillary issues relating to short credit of tax deducted at source and interest were left to verification or treated as consequential, and the penalty ground was considered premature. The substantive additions were deleted. en-us Tue, 27 Jul 2021 00:00:00 +0530 Mon, 09 Aug 2021 12:36:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=410785 Receipts under a Master Services Agreement were held not to constitute royalty or fees for included services under the India-USA DTAA. The Tribunal treated the amounts as business profits and held that, in the absence of a permanent establishment in India, they were not taxable in India. The challenge to Rule 10 allocation on a 90:10 basis therefore failed on merits. Ancillary issues relating to short credit of tax deducted at source and interest were left to verification or treated as consequential, and the penalty ground was considered premature. The substantive additions were deleted. Case-Laws Income Tax Tue, 27 Jul 2021 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=410785