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Inherited property sale proceeds require capital-gains treatment where ownership is supported by evidence, not suspicion or unverified signature doubt...
Cross-examination of retracted statements is essential where foundational evidence supports a benami allegation and documented funding explanations re...
Capital-goods exemption covers plant-modernisation accessories, while the import restriction applies only to earlier capital-goods components and spar...
Constitutional judicial review permits challenges to ECIRs and connected money-laundering proceedings where coercive action affects fundamental intere...
Taxability of receipts as 'fees for included services' under the India-USA Double Taxation Avoidance Agreement (DTAA). The key points are: The Assessing Officer (AO) treated the remittances received by the assessee company from its sister concerns for providing IT support, maintenance services, etc., as 'fees for included services' (FIS) u/s 9(1)(vii)(b) of the Income Tax Act and taxed the same u/s 115A. However, the assessee argued that merely providing complicated services with a nexus to the compensation received does not constitute FIS under the DTAA unless it satisfies the definition of FIS, which involves making available technical knowledge, expertise, skills, know-how, or processes. The Appellate Tribunal agreed with the assessee's argument, stating that for a payment to be considered FIS under Article 12 of the India-US DTAA, the technical knowledge, skills, etc., must remain with the recipient even after the contract ends. The services provided by the assessee, such as centralizing IT services, providing disaster recovery, helpdesk support, and user administration, do not make available any technical knowledge or skills to the recipient. Hence, the receipts cannot be considered FIS under the DTAA and are not taxable in India. The Tribunal also.
Taxability of receipts as 'fees for included services' under the India-USA Double Taxation Avoidance Agreement (DTAA). The key points are: The Assessing Officer (AO) treated the remittances received by the assessee company from its sister concerns for providing IT support, maintenance services, etc., as 'fees for included services' (FIS) u/s 9(1)(vii)(b) of the Income Tax Act and taxed the same u/s 115A. However, the assessee argued that merely providing complicated services with a nexus to the compensation received does not constitute FIS under the DTAA unless it satisfies the definition of FIS, which involves making available technical knowledge, expertise, skills, know-how, or processes. The Appellate Tribunal agreed with the assessee's argument, stating that for a payment to be considered FIS under Article 12 of the India-US DTAA, the technical knowledge, skills, etc., must remain with the recipient even after the contract ends. The services provided by the assessee, such as centralizing IT services, providing disaster recovery, helpdesk support, and user administration, do not make available any technical knowledge or skills to the recipient. Hence, the receipts cannot be considered FIS under the DTAA and are not taxable in India. The Tribunal also.
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