Belgacom International Carrier Services SA v. DCIT (2022) 195 ITD 314 (Bang.)(Trib.)

S. 9(1)(vi) : Income deemed to accrue or arise in India-Royalty Principle of the most favoured nation (MFN)-Matter was remanded-DTAA-India-Belgium. [Art. 12]

The Assessee a tax resident of Belgium, provided interconnect services to an Indian telecom service provider. The Assessing Officer treated the receipt from said service as royalty.  Assessee contended that payments received for said service rendered could not be brought to tax in view of the principle of the most favoured nation (MFN) clause in the tax treaty. Matter was remanded.