https://www.taxtmi.com/caselaws?id=289397 Advances made in India under a charterparty, though described as loans and adjustable against future hire, were treated as payment of hire under the contract. Reading the agreement as a whole, the Court held that the payment was made in Calcutta and could not be notionally shifted to London merely because hire was otherwise payable there. The prior advance character of the sum did not prevent tax deduction at source, because the obligation to deduct arose when payment was made. The liability was not postponed until the non-resident owner's final profits or outgoings were ascertained, and section 18(3-B) therefore applied. en-us Wed, 12 Dec 1956 00:00:00 +0530 Wed, 29 Jul 2020 11:48:41 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=289397 Advances made in India under a charterparty, though described as loans and adjustable against future hire, were treated as payment of hire under the contract. Reading the agreement as a whole, the Court held that the payment was made in Calcutta and could not be notionally shifted to London merely because hire was otherwise payable there. The prior advance character of the sum did not prevent tax deduction at source, because the obligation to deduct arose when payment was made. The liability was not postponed until the non-resident owner's final profits or outgoings were ascertained, and section 18(3-B) therefore applied. Case-Laws Income Tax Wed, 12 Dec 1956 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=289397