https://www.taxtmi.com/caselaws?id=758958 Article 7 of the DTAA is analysed as taxing only profits attributable to an Indian Permanent Establishment, which must be treated as a separate and independent enterprise for attribution purposes. The relevant inquiry is the income arising or accruing through the Permanent Establishment in India, not the foreign enterprise's global profit or loss. The commentary rejects any general force of attraction principle and applies the separate enterprise fiction, arm's length approach, and source rule. It also states that Nokia Solutions does not support the view that a global loss prevents attribution to the Permanent Establishment; profits attributable to the Permanent Establishment remain taxable in India. en-us Thu, 19 Sep 2024 00:00:00 +0530 Mon, 13 Jan 2025 10:51:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=758958 Article 7 of the DTAA is analysed as taxing only profits attributable to an Indian Permanent Establishment, which must be treated as a separate and independent enterprise for attribution purposes. The relevant inquiry is the income arising or accruing through the Permanent Establishment in India, not the foreign enterprise's global profit or loss. The commentary rejects any general force of attraction principle and applies the separate enterprise fiction, arm's length approach, and source rule. It also states that Nokia Solutions does not support the view that a global loss prevents attribution to the Permanent Establishment; profits attributable to the Permanent Establishment remain taxable in India. Case-Laws Income Tax Thu, 19 Sep 2024 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=758958