https://www.taxtmi.com/caselaws?id=751129 Receipts from sublicensing standardised software to Indian affiliates were held to be business receipts, not residuary income, because they could not be recharacterised under section 56(1) or Article 23(3) merely since they were not taxable as royalty. Applying the coordinate bench view and Engineering Analysis, the ITAT stated that where such income is properly classifiable as business profits, it is taxable in India only if the non-resident has a permanent establishment. In the absence of a permanent establishment in India, the receipts could not be brought to tax as business income or under the residuary article. en-us Wed, 17 Jan 2024 00:00:00 +0530 Sat, 06 Apr 2024 12:09:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=751129 Receipts from sublicensing standardised software to Indian affiliates were held to be business receipts, not residuary income, because they could not be recharacterised under section 56(1) or Article 23(3) merely since they were not taxable as royalty. Applying the coordinate bench view and Engineering Analysis, the ITAT stated that where such income is properly classifiable as business profits, it is taxable in India only if the non-resident has a permanent establishment. In the absence of a permanent establishment in India, the receipts could not be brought to tax as business income or under the residuary article. Case-Laws Income Tax Wed, 17 Jan 2024 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=751129