Development agreements require legal possession or effective enjoyment for capital gains transfer; permissive possession and deferred consideration de...
Prolonged sterilisation of development rights supports capital-gains treatment, while business-income disallowances cannot govern capital-gains comput...
Additional evidence in transfer pricing dispute leads to fresh examination, while tax deductions, TDS credit, fee and refund interest require verifica...
Category II AIF pass-through taxation preserves non-business income character; investment receipts cannot be reclassified without applying recognised ...
The respondent's services rendered to their parent company in the USA are classified as an 'intermediary service' or 'export service'. The basic requirement for an intermediary is the presence of at least three parties, where the intermediary arranges or facilitates the supply of goods or services between two or more other persons but does not provide the main supply. The case is similar to an illustration where a BPO firm provides customer care services to a manufacturer by interacting with the manufacturer's customers, charging the manufacturer for this service. The BPO firm is involved in supplying the main service of customer care to the manufacturer and is not an intermediary. Therefore, the respondent's services are not considered an intermediary service, and the Revenue's appeal lacks merit.
The respondent's services rendered to their parent company in the USA are classified as an 'intermediary service' or 'export service'. The basic requirement for an intermediary is the presence of at least three parties, where the intermediary arranges or facilitates the supply of goods or services between two or more other persons but does not provide the main supply. The case is similar to an illustration where a BPO firm provides customer care services to a manufacturer by interacting with the manufacturer's customers, charging the manufacturer for this service. The BPO firm is involved in supplying the main service of customer care to the manufacturer and is not an intermediary. Therefore, the respondent's services are not considered an intermediary service, and the Revenue's appeal lacks merit.
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