Assessee, a tax resident of USA, engaged in business of maintaining an online database pertaining to legal and law related information, earned subscription fees from customers worldwide including India, by providing access to online database. Assessee filed its return of income claiming that subscription fee received for providing access to database was in nature of business income and was not taxable in India as per provisions of India-US DTAA as it did not have a fixed place of business or a PE in India. Assessment was completed under section 143(3). Commissioner  invoked section 263 and held that income of assessee was taxable as FTS/FIS under provisions of Act in conjunction with article 12(4) of India-USA DTAA and directed Assessing Officer to revise assessment order. On appeal the Tribunal held that  in subsequent two assessment years 2018-19 and 2019-20 in assessee’s own case decided this issue on merits in favour of assessee, holding that in absence of any material available on record to prove that assessee was providing full fledged service and solutions for legal professions, payment received by assessee was in nature of ‘Business Profit’ which could not be brought to tax in India in absence of PE.  Very basis of assumption of jurisdiction by Commissioner under section 263 did not survive. (AY. 2017-18)