It also helps in understanding the market status, growth opportunity, prime challenges and provides exhaustive analysis of the industry, profiling of the reputed Public Cloud Managed Services market players, competitor information, which collectively enables in streamlining marketing plan of action, and strategic decision-making. This report describes overall Public Cloud Managed Services Market size by analyzing historical data and future forecast. Global Public Cloud Managed Services Market (2023-2030) research report covers a brief overview of the segments and sub-segmentations including the product types, applications, companies and regions. “ Public Cloud Managed Services Market“ revenue was Million USD in 2016, grew to Million USD in 2021-2022, and will reach Million USD in 2030, with a Compound annual growth rate (CAGR) in Percent During 2022-2030.| (Number of Pages: 113) 3507/M/2017 for the assessment year 2014-15 dated 29-5-2019 : 2019 TaxPub(DT) 7760 (Mum-Trib).Pre and Post-Covid Report Is Covered | Final Report Will Add the Analysis of the Impact of Russia-Ukraine War and COVID-19 on the Public Cloud Managed Services Industry. The issue was squarely, therefore, covered by the decision of ITAT in the assessee's own case.įollowed: ITAT in the assessee's own case for the assessment year 2012-13 in ITA. Moreover, there was no PE of the assessee in India and hence, no income can be taxed in India in term of Indo-US DTAA. Accordingly, it cannot be said as royalty within the meaning of Explanation (2) to section 9(1)(vi) as well as article 12(3)(b) of the Indo-USA DTAA. The customer was not knowing any location of the server in data centre, web mail, websites, etc. The agreement was to provide hosting services simpliciter and was not for the purpose of giving the underlying equipment on hire or lease. Customers were not having physical control or possession over the servers and right to operate and manage this infrastructure/servers vest solely with the assessee. The data centre and the infrastructure therein used to provide these servers belongs to the assessee. Held: The agreement between the assessee and its customers was for providing hosting and other ancillary services to the customers and not for the use of leasing any equipment. Assessee claimed that revenues earned on account of cloud hosting services constitute business profits and since it did not have Permanent Establishment (PE) in India under article 5 of the DTAA, the same would not be subject to tax in India under the provisions of article 7(1) of the DTAA. The assessee filed the return of income and the notes stating therein that the cloud hosting services was not taxable as 'royalties' under Article 12 of the India-US tax treaty cloud support services were not in the nature of managerial, technical or consultancy services and consequently same do also not constitute fees for included services within the meaning of Article 12 of the India-USA DTAA. Cloud hosting and other supporting and ancillary services provided to Indian Customers. During the year under consideration, the assessee earned income from cloud services including cloud hosting and other supporting and ancillary services provided to Indian Customers. Income - Deemed to accrue or arise in India under section 9(1)(vi)/9(1)(vii) - Business profits - Royalty or FTS/FIS-Income from cloud hosting servicesĪssessee was a company incorporated in and a tax resident of USA. Section 9(1)(vi) Section 9(1)(vii) Article 12(3)(b)Īgreement between the assessee and its customers was for providing hosting and other ancillary services to the customers and not for the use of leasing any equipment customers were not having physical control or possession over the servers and right to operate and manage this infrastructure/servers vest solely with the assessee accordingly, it cannot be said as royalty within the meaning of Explanation (2) to section 9(1)(vi) as well as article 12(3)(b) of the Indo-USA DTAA by the AO and DRP moreover, there was no PE of the assessee in India and hence, no income can be taxed in India in term of Indo-US DTAA. The Tax Publishers 2020 TaxPub(DT) 0809 (Mum-Trib)
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