PE in India - Requirement, Criteria etc

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27 April 2024 Hello,
Please can someone clarify or guide me with regards to PE in India. What are the criteria's that should be met for establishing a PE in India by a Foreign Establishment. Are there any limits on travel by the personnel from Foreign Establishment.

Thank you in advance.
Regards

28 April 2024
Service Permanent Establishment (PE) is established in India when a foreign enterprise provides services, excluding fees for technical services, through arrangements involving the secondment of employees for a specified period (i.e., 90 days) within any 12-month period.

29 April 2024 Thank you for the clarification Sir. We provide Digital Sales Enablement services to Indian Customers via our platform which is based out of India. So are our Services categorised as Technical services. We do not have employees in Foreign Establishment who are given secondment job/period.
Very rarely it may happen that the Sales Directors may travel to India for Customer Meetings and doing Sales & Commercial Discussions with prospective Customers. In such cases do we need to check the number of days travelled per financial year which determines a PE in India.


30 April 2024 Yes, check the number of days per financial year.



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