2 July 2010,Friday Kapil Goel B.Com(H) FCA LLB Advocate Delhi ...

AAR Seagate: India SingaporeDTAA• ….By merely outsourcing the operations leading to supplies ofproducts, it cannot be said that the applicant does not carry on anybusiness in India from a fixed place. The ground realities cannot bedisregarded. The question whether the person carrying on businessoperations on behalf of or pursuant to the instructions of theapplicant is a dependent or independent agent is not very material inconsidering the applicability of Art.5.1. The business of the applicantat a fixed place is being carried on through the media of thewarehouse provider who can also be characterized as serviceprovider. Having regard to these facts and features, we have toaccept the contention of the Revenue that the demarcated space inthe warehouse of ISP constitutes the fixed place of business withinthe meaning of Art.5.1 of DTAA.