AAR ruling could put foreign hotel owners in a tax bind

The Authority for Advance Ruling has ruled in the case of FRHI Hotels & Resorts that based on the degree of exclusive control, discretion and authority exercised by the non-resident company over operations of an Indian hotel could mean that such a hotel constituted a fixed place permanent establishment for the former and its income from operations … Continue reading AAR ruling could put foreign hotel owners in a tax bind

Income Tax authorities successful in claiming Permanent Establishment status for MasterCard

In a case similar to the European Facebook and Google cases on taxation, the Authority for Advance Rulings upheld the I-T departments contention that a company would be taxable in India if it secures its business in India through a permanent establishment, irrespective of whether people or software are employed to do the job. Read … Continue reading Income Tax authorities successful in claiming Permanent Establishment status for MasterCard