Union Budget 2018: Streamlining Business Connection in accordance with BEPS Action Plan

posted in: IBA_News | 0

Article by – Akshit Gulati, Asst. Manager Direct Tax


Excerpts – “The government has proposed to amend the definition of business connection as defined in Section 9(1)(i) of the Income Tax Act, 1961 by inserting Explanation 2A to provide that “significant economic presence” in India shall constitute business connection in India.”

“The income attributable to such transactions shall be deemed to accrue or arise in India. Further, it is pertinent to note that it would be irrelevant whether the non-resident has a place of residence in India or not. The threshold limit for such transactions has not been prescribed by the government.”  Read more…..


This Article has been published in Taxguru on February 17, 2018

Leave a Reply