Tribunal held that the, effective management of the assessee is neither in Mauritius nor in India following the with the views of Mr. Klaus Vogel, who is an eminent authority of International Taxation, that if the effective management of an enterprise is not in one of the contracting state, but is situated in the third state, the benefit of article-8, cannot be extended. Accordingly Freight Connection India Pvt. Ltd. is an agent of independent status and hence it cannot be considered as constituting Agency PE of that assessee. (AY. 2014-15)
ARC Line (Mauritius) v. Dy.CIT (IT) 2020) 180 DTR 659 (Mum.) (Trib.).
S. 9(1)(i) : Income deemed to accrue or arise in India-Business connection–Cannot be considered as constituting Agency PE of that assessee-DTAA-India–Mauritius. [Art. 5(5), 8]