{"id":2016,"date":"2018-08-13T11:17:43","date_gmt":"2018-08-13T11:17:43","guid":{"rendered":"http:\/\/itatonline.org\/digest\/bellsea-ltd-v-adit-delhitribwww-itatonline-org\/"},"modified":"2018-08-13T11:17:43","modified_gmt":"2018-08-13T11:17:43","slug":"bellsea-ltd-v-adit-delhitribwww-itatonline-org","status":"publish","type":"post","link":"https:\/\/itatonline.org\/digest\/bellsea-ltd-v-adit-delhitribwww-itatonline-org\/","title":{"rendered":"Bellsea Ltd. V. ADIT ( Delhi)(Trib),www.itatonline.org"},"content":{"rendered":"<p>Tribunal held that , The duration of 12 months specified to constitute a PE is activity specific qua the site, construction, assembly or installation project. Preparatory work for tendering of contract cannot be included in the period. The activity qua the project comes to an end when the work gets completed and the responsibility of the contractor with respect to that activity comes to end. Onus is heavily upon the revenue to establish that that assessee\u2019s activity had crossed the threshold period of 12 months.\u00a0 Tribunal held that on facts threshold period of 12 moths have not exceeded\u00a0and consequently no PE can be said to have been established in Article 5(2)(g). Accordingly\u00a0 no income of the assessee on the contract executed by assessee in India can be held to be taxable in terms of Article 7. Grounds raised by the assessee is allowed .\u00a0\u00a0\u00a0 \u00a0( ITA No.5759\/Del\/2011, dt. 06.07.2018)(AY. 2008-09)<\/p>\n<p><strong>[Click here to download PDF file]<\/strong><a href=\"http:\/\/itatonline.org\/archives\/wp-content\/uploads\/BellSea-Installation-PE.pdf\">http:\/\/itatonline.org\/archives\/wp-content\/uploads\/BellSea-Installation-PE.pdf<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>S. 9(1)(i):Income deemed to accrue or arise in India &#8211; Business connection -The duration of 12 months specified to constitute a PE is activity specific qua the site, construction, assembly or installation project. Preparatory work for tendering of contract cannot be included in the period. The activity qua the project comes to an end when the work gets completed and the responsibility of the contractor with respect to that activity comes to end. Onus is heavily upon the revenue to establish that that assessee\u2019s activity had crossed the threshold period of 12 months- Accordingly  no income of the assessee on the contract executed by assessee in India can be held to be taxable in terms of Article 7- DTAA-India \u2013Cyprus  [ Art .5,7  ]<\/p>\n","protected":false},"author":3,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"jetpack_post_was_ever_published":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[1],"tags":[],"class_list":["post-2016","post","type-post","status-publish","format-standard","hentry","category-digest"],"acf":[],"jetpack_featured_media_url":"","jetpack_shortlink":"https:\/\/wp.me\/p9S2Rw-ww","jetpack-related-posts":[],"jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/2016","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/comments?post=2016"}],"version-history":[{"count":0,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/2016\/revisions"}],"wp:attachment":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/media?parent=2016"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/categories?post=2016"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/tags?post=2016"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}