https://www.taxtmi.com/caselaws?id=213135 The ITAT "A" Bench allowed the appeal, determining that the services provided by Indijack Ltd. were commission-based and not managerial/technical. As the services were rendered outside India and the non-resident agent had no permanent establishment in India, the commission paid was not taxable in India. Therefore, there was no obligation to withhold tax under Section 195, and Section 40(a)(i) did not apply. The ITAT also upheld the relevance of CBDT Circular 786 for the assessment year, clarifying that no TDS was required on export commission paid to non-residents for services outside India. en-us Fri, 04 May 2012 00:00:00 +0530 Wed, 09 May 2012 13:39:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=213135 The ITAT "A" Bench allowed the appeal, determining that the services provided by Indijack Ltd. were commission-based and not managerial/technical. As the services were rendered outside India and the non-resident agent had no permanent establishment in India, the commission paid was not taxable in India. Therefore, there was no obligation to withhold tax under Section 195, and Section 40(a)(i) did not apply. The ITAT also upheld the relevance of CBDT Circular 786 for the assessment year, clarifying that no TDS was required on export commission paid to non-residents for services outside India. Case-Laws Income Tax Fri, 04 May 2012 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=213135