https://www.taxtmi.com/caselaws?id=423014 Payments to non-resident business affiliates engaged to promote sales, locate clients, solicit orders and act as a communication link were treated as sales promotion arrangements, not managerial, technical or consultancy services. The use of the label "consultant" was not decisive, and fixed remuneration plus commission for business procured supported the characterisation as business profits. Because the recipients had no permanent establishment in India, the receipts were not taxable in India under the treaty framework, so no withholding obligation arose and the additions under sections 201 and 201(1A) did not survive. en-us Tue, 24 May 2022 00:00:00 +0530 Fri, 27 May 2022 08:37:34 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=423014 Payments to non-resident business affiliates engaged to promote sales, locate clients, solicit orders and act as a communication link were treated as sales promotion arrangements, not managerial, technical or consultancy services. The use of the label "consultant" was not decisive, and fixed remuneration plus commission for business procured supported the characterisation as business profits. Because the recipients had no permanent establishment in India, the receipts were not taxable in India under the treaty framework, so no withholding obligation arose and the additions under sections 201 and 201(1A) did not survive. Case-Laws Income Tax Tue, 24 May 2022 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=423014