Article 7 of the Double Taxation Avoidance Agreement (DTAA) deals with the taxation of business profits. It stipulates that the profits of an enterprise of a contracting state shall be taxable only in that state unless the enterprise carries on business in the other contracting state through a permanent establishment situated therein. If the enterprise does have a permanent establishment in the other state, then only the profits attributable to the permanent establishment may be taxed in that other state. This article is significant as it helps prevent double taxation of business profits and provides a clear framework for determining tax liabilities across jurisdictions. The burden of proof typically lies with the taxpayer to demonstrate the existence or non-existence of a permanent establishment, and the allocation of profits must be in accordance with the arm's length principle.