https://www.taxtmi.com/caselaws?id=424410 The HC set aside the impugned order rejecting the Nil TDS certificate application under Section 195(2) of the I.T. Act. It held that the petitioner was entitled to seek a tentative determination under Section 195(2) to avoid premature tax deduction. The Court found that the payments did not satisfy the "make available" requirement under Article 12(4) of the India-US DTAA for Fees for Included Services (FIS), thus not attracting TDS under Section 195 read with the DTAA. The HC rejected the Revenue's contention to deduct tax on gross receipts and clarified that Section 195 provides a mechanism to determine the taxable portion. The Court noted errors in the DCIT's findings, including misinterpretation of secondment and employer-employee relationship. Consequently, the HC directed issuance of a Nil TDS certificate, allowing no deduction at source on the petitioner's payments. en-us Fri, 24 Jun 2022 00:00:00 +0530 Mon, 11 Aug 2025 18:08:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=424410 The HC set aside the impugned order rejecting the Nil TDS certificate application under Section 195(2) of the I.T. Act. It held that the petitioner was entitled to seek a tentative determination under Section 195(2) to avoid premature tax deduction. The Court found that the payments did not satisfy the "make available" requirement under Article 12(4) of the India-US DTAA for Fees for Included Services (FIS), thus not attracting TDS under Section 195 read with the DTAA. The HC rejected the Revenue's contention to deduct tax on gross receipts and clarified that Section 195 provides a mechanism to determine the taxable portion. The Court noted errors in the DCIT's findings, including misinterpretation of secondment and employer-employee relationship. Consequently, the HC directed issuance of a Nil TDS certificate, allowing no deduction at source on the petitioner's payments. Case-Laws Income Tax Fri, 24 Jun 2022 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=424410