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Compensation paid to Foreign Co. for breach of contract not taxable in absence of PE in India; no requirement of TDS

August 5, 2019[2019] 108 taxmann.com 79 (Visakhapatnam - Trib.)
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INTERNATIONAL TAXATION: Where payment was made by assessee to Malaysian company towards assessee's failure to supply export order, it constituted business transaction and since said company did not have a PE in India, sum paid would not be taxable in India under Article 7

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