https://www.taxtmi.com/highlights?id=102351 Diamond grading and certification payments to non-resident laboratories are analysed as consideration for independent examination and reporting of a diamond's physical characteristics, rather than managerial, technical or consultancy services. The use of specialised personnel or equipment does not alone convert such payments into fees for technical services. Under the India-USA and India-UK treaty provisions on fees for included services, a grading report does not "make available" technical knowledge, skill, know-how or a process because it does not enable the recipient to conduct future grading independently. In the absence of a permanent establishment, the payments are discussed as business profits not chargeable to tax in India, with no related withholding obligation. en-us Tue, 04 Aug 2026 08:39:30 +0530 Tue, 04 Aug 2026 08:39:32 +0530 TaxTMI RSS Generator https://www.taxtmi.com/highlights?id=102351 Diamond grading and certification payments to non-resident laboratories are analysed as consideration for independent examination and reporting of a diamond's physical characteristics, rather than managerial, technical or consultancy services. The use of specialised personnel or equipment does not alone convert such payments into fees for technical services. Under the India-USA and India-UK treaty provisions on fees for included services, a grading report does not "make available" technical knowledge, skill, know-how or a process because it does not enable the recipient to conduct future grading independently. In the absence of a permanent establishment, the payments are discussed as business profits not chargeable to tax in India, with no related withholding obligation. Highlights Income Tax Tue, 04 Aug 2026 08:39:30 +0530 https://www.taxtmi.com/highlights?id=102351