Retrospective application of beneficial circulars upheld, binding officers and granting post adjudication relief where adjudication occurred after cir...
Admissibility of Investigation Statements requires witness examination before the adjudicating authority; otherwise statements cannot sustain a penalt...
The liability of income from non India point of sale transactions was left undecided pending appellate adjudication, and no finding on their tax exigibility is recorded. Revenue attributable to the India permanent establishment is affirmed at 15% of total commission based on FAR analysis, and that 15% is treated as revenue (not an expenditure cap); consequently the full distribution agent commission (68%) is deductible against that attributed revenue, producing negative taxable income in the present facts. The impugned certificate is set aside and the competent authority is directed to issue a fresh withholding certificate fixing tax deduction at 0.5%.
The liability of income from non India point of sale transactions was left undecided pending appellate adjudication, and no finding on their tax exigibility is recorded. Revenue attributable to the India permanent establishment is affirmed at 15% of total commission based on FAR analysis, and that 15% is treated as revenue (not an expenditure cap); consequently the full distribution agent commission (68%) is deductible against that attributed revenue, producing negative taxable income in the present facts. The impugned certificate is set aside and the competent authority is directed to issue a fresh withholding certificate fixing tax deduction at 0.5%.
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