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2013 (1) TMI 508 - UTTARAKHAND HIGH COURTService rendered in India - “salaries” - taxability in India - Respondent/assessee is a non-resident company engaged in certain businesses in India who inturn employed 13 people each one of them was a Danish national - Held that:- Tribunal noticed the treaties on DTAA between Denmark and India which specifically provided that the remuneration derived by a resident of either of those two countries in respect of an employment exercised in the other country shall be taxable only in the country, to which he belongs, if he is present in the other country for a period or periods not exceeding in the aggregate 183 days in the fiscal year of the other country and the remuneration is paid by or on behalf of an employer, who is not a resident of the other country and the remuneration is not borne by a permanent establishment or a fixed base, which the employer has in the other country. Therefore, by reason of the said treaty it was accepted that such income while shall not be deemed to have arisen in India, the same will also not be construed as payable in India as the fact remains that the Tribunal found as a fact that each of those 13 Danish nationals were remunerated in respect of employment in India for a period not exceeding 183 days in the concerned fiscal year and that the remuneration was paid by or on behalf of an employer, who is not a resident of the country and, in any event, the remuneration was not borne by a permanent establishment or a fixed base, which the employer has in India. Tribunal, accordingly, held that those remunerations are, therefore, in view of the said treaty, taxable at Denmark and not in India - in favour of Respondent/assessee.
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