Rule 13 prescribes the two thresholds for significant economic presence under section 9(9)(d): the aggregate payments from transactions with persons in India, and the number of users in India.
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Rules 2026 · Rule 13
SEP thresholds
Rules 3-14
Rules 2026 · Rule 13
Rules 3-14
Rule 13 prescribes the two thresholds for significant economic presence under section 9(9)(d): the aggregate payments from transactions with persons in India, and the number of users in India.
Payments threshold — section 9(9)(d)(i) (sub-rule 1). The aggregate amount of payments from transactions carried out by a non-resident with any person in India during the tax year, in respect of any goods, service or property (including provision for download of data or software in India), is prescribed as two crore rupees.
Users threshold — section 9(9)(d)(ii) (sub-rule 2). The number of users with whom systematic and continuous business activities are solicited, or who are engaged in interaction, is prescribed. The Rules text prints this figure as "Rs. 300000" (three lakh) — see the review note below on that wording.
Reading it in practice. The two thresholds are tested separately, one under each limb of section 9(9)(d); check the section itself for how the limbs combine.