The assessee claimed that its place of effective management is located in Mauritius and hence as per Article -8, no income is taxable in India. The AO gave a finding that the place of effective management is located in Gulf Countries. Accordingly, he held that Article-8 will not apply, since the place of effective management is not located in India or in Mauritius. All the decisions have been left out tothe UAE agent and are of routine nature It is held that the assessee does not have an Agency PE in India and the CIT(A) was right in so holding for the AY 1998 - 99 and the successor CIT(A) was wrong in taking a contrary view for the subsequent assessment years. Accordingly, we further hold that even if the assessee's case is not covered by Article 8, the business profits would not be chargeable to Indian tax as it does not carry on business in India through a permanent establishment (an agency PE) as per articles 7 and 5 of the DTAA