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2012 (8) TMI 516 - AT - Income TaxReceipts of the service fees - fee for technical services OR business receipt - DTAA between India and Singapore - Held that:- Assessee being a company, and having Permanent Establishment in India, its receipts will be liable to be assessed as per provisions of Article-7 of the above DTAA - The taxability of royalty for fee for technical services in the State in which it arise on the gross amount at the specified rate will not be applicable if these receipts are effectively connected with PE or fixed base. In that case provisions of Article -7 or Article -14 will apply. It has already been mentioned that Article-14 will not be applicable to the facts of the present case and thus these receipts of the assessee are liable to be assessed under Article-7 of the aforementioned DTAA for which the assessee also does not have any objection. Just and proper to restore the issue to the file of AO with a direction to assess the assessee on these receipts under Article-7 of the DTAA after giving the assessee reasonable opportunity of hearing. On taxability of the interest issue it just and proper to restore the said ground also to the file of AO with a direction to readjudicte the issue afresh
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