In the Finance Act, 2016,-(a)the following amendments shall be made and shall be deemed to have been made with effect from the 1st day of April, 2020, namely:- 5'(i)in section 163, in sub-section (3), the following proviso shall be inserted, namely:-"Provided that the consideration received or receivable for specified services and fore-commerce.supply or services shall not include the consideration, which are taxable as royalty or fees for 10 technical services in India under the Income-tax Act, read with the agreement notified by the Central Government under section 90 or section 90A of the said Act.";(ii)in section 164, in clause (ch), the following Explanation shall be inserted, namely:-'Explanation.-For the purposes of this clause, "online sale of goods" and "online provision of services" shall include one or more of the following online activities, namely:-(a)acceptance of offer for sale; or(b)placing of purchase order; or(c)acceptance of the purchase order; or(d)payment of consideration; or(e)supply of goods or provision of services, partly or wholly;';(iii)in section 165A, in sub-section (3),-(a)in the opening portion, for the words 'section, "specified circumstances" mean-', the following shall be substituted, namely:-'section,-(a)"specified circumstances" mean-';(B)after clause (a) as so amended, the following clause shall be inserted, namely:-"(b) consideration received or receivable from e-commerce supply or services shall include- ·;.(i)consideration for sale of goods irrespective of whether the e-commerce operator goods, so however that it shall not include consideration for sale of such goods which are owned by a person resident in India 40 or by a permanent, establishment in India of a person non-resident in India, if sale of such goods is effectively connected with such permanent establishment.(ii)consideration for provision of services irrespective of whether service is provided or facilitated by the commerce operator, so however that it shall not include consideration for provision of services which are provided by a person resident in India or by permanent establishment in India of a person non-resident in India, if provision of such services is effectively connected with such permanent establishment.(b)in section 191, in the proviso, after the word "refundable", the I words "without any interest" shall be inserted and shall be deemed to have been inserted with effect fromthe 1st day of June, 2016.PART XVI-AMENDMENT TO THE DIRECT TAX VIVAD SE VISHWAS ACT,2020
