(9)(a)For the purposes of this section, "business connection" in India shall include—(i)any business carried out in India in the case of which all or part of operation are carried out in India; or(ii)a significant economic presence in India;(b)in clause (a), a business carried out in India shall include––(i)business activity carried out through a person who, acting on behalf of the non-resident,—(A)has and habitually exercises in India, an authority to conclude contracts on behalf of the non-resident or habitually concludes contracts or habitually plays the principal role leading to conclusion of contracts by that non-resident and the contracts are—(I)in the name of the non-resident; or(II)for the transfer of the ownership of, or for the granting of the right to use, property owned by that non-resident or that non-resident has the right to use; or(III)for the provision of services by the non-resident; or(B)has no such authority, but habitually maintains in India a stock of goods or merchandise from which he regularly delivers goods or merchandise on behalf of the non-resident; or(C)habitually secures orders in India, mainly or wholly for the non-resident, or for that non-resident and other non-residents controlling, controlled by, or subject to the same common control, as that non-resident;(ii)a business activity carried out through a person who is a broker, general commission agent or any other agent, through whom such activity is carried out, and who is working mainly or wholly on behalf of––(A)a non-resident (referred to as the principal non-resident); or(B)such non-resident and other non-residents who—(I)are controlled by the principal non-resident; or(II)have a controlling interest in the principal non-resident; or(III)are subject to the same common control as the principal non-resident,and such person shall not be deemed as having an independent status;(c)in clauses (a) and (b), a business carried out in India shall not include any business activity or operations of the non-resident––(i)carried out through a broker, general commission agent or any other agent having an independent status, if such broker, general commission agent or any other agent is acting in the ordinary course of his business; or(ii)which are confined to any of the following––(A)the purchase of goods in India for the purposes of export out of India; or(B)the collection of news and views in India for transmission out of India, in the case where such non-resident is engaged in the business of running a news agency or of publishing newspapers, magazines or journals; or(C)the display of uncut and unassorted diamond in any special zone notified by the Central Government, in the case where such non-resident is a foreign company engaged in the business of mining of diamonds; or(D)the shooting of any cinematographic film in India, in the case where such non-resident is a person being––(I)an individual who is not an Indian citizen; or(II)a firm which does not have a partner who is an Indian citizen or who is resident in India; or(III)a company which does not have a shareholder who is an Indian citizen or who is resident in India;(d)a non-resident shall have a significant economic presence in India, where there is—(i)transaction in respect of any goods, services or property carried out by such non-resident with any person in India including provision of download of data or software in India, if the aggregate of payments arising from such transaction or transactions during the tax year exceeds such amount as may be prescribed; or(ii)systematic and continuous soliciting of business activities or engaging in interaction with such number of users in India, as may be prescribed,irrespective of whether the agreement for such transactions or activities is entered in India, or the non-resident has a residence or place of business in India, or the non-resident renders any services in India;(e)the provisions of clause (d) shall not apply to the transactions or activities which are confined to the purchase of goods in India for the purpose of export;(f)in this section, only the income which is reasonably attributable to––(i)operations carried out in India, when all operations of the business are not carried out in India;(ii)transactions or activities referred to in clause (d),shall be deemed to accrue or arise in India from any business connection;(g)the income attributable to operations of any business or significant economic presence in this section shall also include income from––(i)such advertisement which targets a customer who resides in India or a customer who accesses the advertisement through internet protocol address located in India;(ii)sale of data collected from a person who resides in India or from a person who uses internet protocol address located in India; and(iii)sale of goods or services using data collected from a person who resides in India or from a person who uses internet protocol address located in India.
