China-based Huawei gets partial relief from ITAT

Mumbai: Granting partial relief to China-based Huawei Technologies, the income tax appellate tribunal (ITAT) recently held Huawei Telecommunications (India) Company Private Limited (Huawei India) as its fixed place permanent establishment (PE) and hence liable to pay tax from the provision of technical services to the Indian entity.

However, ITAT did not allow the department’s tax demand on royalty payment.