https://www.taxtmi.com/caselaws?id=310702 Consideration for interconnectivity and bandwidth-related services provided from outside India was held not taxable in India where the services and facilities were located abroad and the recipient had no presence in India. The Tribunal followed jurisdictional High Court authority that payments to non-resident telecom operators for interconnectivity services and foreign capacity transfer do not constitute royalty. It further noted that income does not accrue or arise in India on these facts and that Indian tax authorities lack jurisdiction over an extra-territorial source. Treaty protection under the applicable DTAA could also apply, and the more beneficial treaty position would prevail over the wider domestic definition. en-us Tue, 29 Aug 2023 00:00:00 +0530 Tue, 07 Nov 2023 21:48:11 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=310702 Consideration for interconnectivity and bandwidth-related services provided from outside India was held not taxable in India where the services and facilities were located abroad and the recipient had no presence in India. The Tribunal followed jurisdictional High Court authority that payments to non-resident telecom operators for interconnectivity services and foreign capacity transfer do not constitute royalty. It further noted that income does not accrue or arise in India on these facts and that Indian tax authorities lack jurisdiction over an extra-territorial source. Treaty protection under the applicable DTAA could also apply, and the more beneficial treaty position would prevail over the wider domestic definition. Case-Laws Income Tax Tue, 29 Aug 2023 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=310702