https://www.taxtmi.com/caselaws?id=19536 The High Court held that the tax liability payment by an Indian firm on behalf of a non-resident firm in a mineral oil exploration agreement should be treated as a perquisite taxable under section 28(iv) of the Income-tax Act, 1961. The Court determined that only ten percent of the tax amount should be considered as profits chargeable to tax under section 44BB, rejecting the argument that the entire tax should be taxed as income. The judgment emphasized interpreting the agreement terms and relevant tax provisions to ascertain the tax treatment accurately. en-us Mon, 14 Nov 1994 00:00:00 +0530 Fri, 06 Nov 2009 17:40:51 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=19536 The High Court held that the tax liability payment by an Indian firm on behalf of a non-resident firm in a mineral oil exploration agreement should be treated as a perquisite taxable under section 28(iv) of the Income-tax Act, 1961. The Court determined that only ten percent of the tax amount should be considered as profits chargeable to tax under section 44BB, rejecting the argument that the entire tax should be taxed as income. The judgment emphasized interpreting the agreement terms and relevant tax provisions to ascertain the tax treatment accurately. Case-Laws Income Tax Mon, 14 Nov 1994 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=19536