https://www.taxtmi.com/caselaws?id=799614 For a Netherlands-incorporated foreign bank, the Indian permanent establishment is taxable at the foreign-company rate rather than the domestic-company rate because it does not meet domestic-company conditions and is not similarly situated to a domestic company for treaty non-discrimination purposes. Treaty separate-entity treatment recognises interest dealings between the Indian PE, head office and overseas branches for profit attribution. Outbound interest remains deductible only where domestic withholding requirements are met; failure to withhold triggers disallowance. Corresponding interest received by the Indian PE is taxable business income, and mutuality does not exclude it from taxable profits. en-us Tue, 22 Sep 2026 00:00:00 +0530 Thu, 24 Sep 2026 08:27:14 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=799614 For a Netherlands-incorporated foreign bank, the Indian permanent establishment is taxable at the foreign-company rate rather than the domestic-company rate because it does not meet domestic-company conditions and is not similarly situated to a domestic company for treaty non-discrimination purposes. Treaty separate-entity treatment recognises interest dealings between the Indian PE, head office and overseas branches for profit attribution. Outbound interest remains deductible only where domestic withholding requirements are met; failure to withhold triggers disallowance. Corresponding interest received by the Indian PE is taxable business income, and mutuality does not exclude it from taxable profits. Case-Laws Income Tax Tue, 22 Sep 2026 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=799614