Profit Attribution to PE: Examining the Hyatt Ruling

Our undertakings for long-term impact are an organic extension of our purpose.

They are to employ our deep knowledge of the law beyond the business, the transaction, the deal. To use the opportunities and skills we possess, to reflect on the culture we’re creating. Individually and collectively, these are our efforts to help shape the thinking of our future generations, and arm them with strategies for true, sustainable growth.

Oct 06, 2025

Profit Attribution to PE: Examining the Hyatt Ruling – Part I

The scope of this article is to examine whether the decision of the Supreme Court in Hyatt International Southwest Asia Ltd. v. Addl. DIT serves as a precedent qua the issue of attribution of profits to a Permanent Establishment (“PE”) in India. It seeks to examine whether the observations of the Supreme Court in the penultimate part of its judgement serves as an endorsement of the Full Bench Decision of the Delhi High Court on the issue of attribution of profits.

Please read the details as published by Taxmann at Preview File- Taxmann.

AUTHORS & CONTRIBUTORS

Partner:

Deepak Chopra

Ankul Goyal
Associates:

Ashish Sarda

DISCLAIMER

These are the views and opinions of the author(s) and do not necessarily reflect the views of the Firm. This article is intended for general information only and does not constitute legal or other advice and you acknowledge that there is no relationship (implied, legal or fiduciary) between you and the author/AZB. AZB does not claim that the article's content or information is accurate, correct or complete, and disclaims all liability for any loss or damage caused through error or omission.