https://www.taxtmi.com/caselaws?id=192092 The Income Tax Appellate Tribunal (ITAT) allowed the appeal of the assessee, overturning the disallowance of commission on export sales under section 40(a)(i) of the Act. The ITAT held that the commission paid to non-resident agents for services related to export sales, where no part of their income arose in India, was not taxable in India. By referencing Circular Nos. 23 and 786 and the decision in the case of Indo Industries Ltd., the ITAT concluded that commission paid to agents without a Permanent Establishment in India is not subject to tax in India. The ITAT also upheld the CIT(A)'s decision to rework the disallowance under sections 14A/36(1)(iii), dismissing the revenue's appeal and favoring the assessee. en-us Wed, 25 May 2016 00:00:00 +0530 Sat, 13 May 2017 08:51:56 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=192092 The Income Tax Appellate Tribunal (ITAT) allowed the appeal of the assessee, overturning the disallowance of commission on export sales under section 40(a)(i) of the Act. The ITAT held that the commission paid to non-resident agents for services related to export sales, where no part of their income arose in India, was not taxable in India. By referencing Circular Nos. 23 and 786 and the decision in the case of Indo Industries Ltd., the ITAT concluded that commission paid to agents without a Permanent Establishment in India is not subject to tax in India. The ITAT also upheld the CIT(A)'s decision to rework the disallowance under sections 14A/36(1)(iii), dismissing the revenue's appeal and favoring the assessee. Case-Laws Income Tax Wed, 25 May 2016 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=192092