Foreign airline's code-sharing profits exempt from Indian tax under India-USA Tax Treaty; ITAT rules it's "operation of aircraft.

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....The assessee, a foreign airline company and tax resident of the USA, engaged in the business of operating aircraft in international traffic, obtained approval from DGCA to undertake scheduled air services in India under the India-US Air Transport Agreement (ATA). It established a branch office in India for booking air passenger tickets and air freight, constituting a Permanent Establishment (PE) in India. The issue pertained to the taxability of income in India from code-sharing arrangements with third parties, where the assessee only booked tickets while the actual transportation was done by third parties. The coordinate bench had previously denied the benefit of exemption under Article 8 of the India-USA Tax Treaty for such receipts. Howe.........