less affected by transactional
differences than other methods in case of service PE. The same is fully
supported by OECD transfer pricing guidelines for multinational
supervisory PE, at 25% .
14. Against the draft assessment order, assessee filed objections
before DRP, who upheld the attribution at 25% to the PE ... onshore services and further held that
income from supervisory PE in respect of onshore service revenue
via assessee is taxable in India as business income
taxed as royalty income it is not effectively connected with its alleged PE
and hence, not chargeable as business income.
11. Ld. AO rejected contention ... income that can be attributed to the Indian PE is what an independent
marketing support service provider in India would in uncontrolled
conditions earn
subjected to tax in India, in the
absence of assessee's PE in India under Article 5 of the DTAA. The
learned Assessing Officer ... technical services (FTS) and the assessee had not service permanent
establishment (PE) in India.
2.2 Aggrieved with the holding of payment as royalty
corporation was to deliver to its clients the best quality service with the
least turnaround time in the most economical way. To take advantage ... ignored that the PE branch office in India contributed towards all
development activities at the cheaper cost of service and human
resources in comparison
directly by Reliance.
72. The finding that Nortel India is a services PE of the Assessee is
also erroneous. There is no material to hold ... also held that Nortel India constituted Dependent
Agent PE of the Assessee in India. The aforesaid conclusion was
premised on the finding that Nortel India
Taipei,
Mitsubishi Shoji Chemicals Corporation, Japan, and
SPDC Ltd, Japan have a PE in India.
6. Without prejudice and in alternative the
disallowance made ... High Sea Sales" transactions or
principal form of transactions and in service segment, the taxpayer
is a front-end contact in India for customers
Appellant is a tax resident of UK and in absence of any PE in India, the
income earned in the form of fees charged ... right or obligation and also
9
ITA No.-1143/Del/2016
any service fee or other charge in respect of the moneys borrowed or debt
4001/del/2013
AY 2006-07
ITA No. 1035/PE L/2015 dated 07/12/2015 wherein it is been held that no
capacity utilization ... made in case of comparables in case of
us are captive service provider. As the assessee is also a captive service
provider it cannot
customers with
4
ITA No.1659/Del/2017
material handling technologies and service including turnkey
projects, harbour facilities, conveying systems, storage
equipment, vehicle loading ... Reserve Bank of
India (RBI). This project office constituted permanent
establishment (PE) of RTA Alesa, Switzerland India i.e. an
entity in India
