Just Do It! That's what Nike was told if you were to interpret the recent ruling by the Bangalore Income-Tax Appellate Tribunal (ITAT). The Tribunal reasoned that the US-headquartered Nike Inc. was purchasing goods by using the services of its liaison office.
So, the office was only rendering services for the `purpose' of exporting goods. Such an activity does not create any taxable presence because of an exclusion provide for in the Indian laws.