Indian High Court Holds Payments for Online Advertising May Not be Considered Taxable Royalties Under Tax Treaty with U.S.
The Karnataka High Court recently issued a decision regarding the treatment of payments for online advertisements as taxable royalties under the 1989 India-U.S. tax treaty. The case involved a company, Urban Ladder, which made payments for online advertising services to Facebook and two other companies, on which no tax was withheld. The assessing officer determined, however, that the payment qu…
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