TaxTMI 
TaxTMI 
2014 (2) TMI 902
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....incorporated and a tax resident of Brazil namely Utopia Films. The facts and questions raised in both the applications are also similar except in the case of application No.1082 the services are line production services and in application No.1081 the payments are for line production services for stunts. In both the applications the disputes are under convention between the Government of Republic of India and the Government of Federative Republic of Brazil for the avoidance of Double Taxation and the prevention of fiscal evasion with respect to taxes on income and capital gains (hereinafter referred to as India-Brazil Tax Treaty). The applications are disposed of by a common order for the sake of convenience. 2. The Endemol India Pvt. Lim....
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....or props and other set production materials' (c) Arranging for safety, security and transportation; (d) Arranging for filming and other equipments as may be requisitioned. 4. The anchor and the participants of the show are engaged and paid separately by the broadcaster and is not the responsibility of Utopia Films. Accordingly, there is no payment made by Utopia Films in this regard. 5. Utopia Films would provide the entire scope of services to the Applicant outside India. Utopia Films has been engaged for a particular season of a reality TV series and there is no continuity of relationship. 6. As per the agreement, the Applicant has p....
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....razil would be in the nature of 'Royalty' within the meaning of the term as per Article 12 of the India-Brazil Tax Treaty? 4) Whether the payments made by the Applicant to Utopia Films for availing the line production services under the terms of the agreement would be in the nature of 'Other Income' within the meaning of the term in Article 21 of the India-Brazil Tax Treaty? 5) Based on answer to the Question (1) to (4) above, and in view of the facts as stated in Annexure III, whether it can be said that Utopia Films has a Permanent Establishment ('PE') in India in terms of the India-Brazil Tax Treaty and whether the payments received by Utopia Film....
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....th the copy of the admission order on Utopia Films and file an affidavit affirming service of such notice on Utopia Films. No Objection Certificate from Utopia Films was accordingly filed. 9. According to the applicant the payment made to Utopia Films outside India for line production services and line production services for stunts as per the agreement do not fall within the purview of "Fees for Technical Services" (FTS) as per Explanation 2(2) section 9(1)(vii) of the IT Act or Royalty as per Explanation 2 of 9(1)(vi) of the Income-tax Act. It was also submitted that the payments are not taxable under the India-Brazil Tax Treaty as Royalty and Independent Personal Services ('IPS') as defined in the Treaty. Reliance was placed in the de....