https://www.taxtmi.com/caselaws?id=754328 ITAT Delhi held that reimbursement of connectivity charges received by assessee from Huawei India for international communication services does not constitute fee for technical services under section 9(i)(vii). The tribunal found that connectivity services were merely ancillary to inter-connect services and part of product processing, rejecting revenue's contention that these constituted technical, managerial, or consultancy services. Following Bharti Airtel Ltd. SC precedent, only the 1% markup earned by assessee on reimbursement was held taxable under appropriate provisions. en-us Wed, 19 Jun 2024 00:00:00 +0530 Thu, 20 Jun 2024 15:02:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=754328 ITAT Delhi held that reimbursement of connectivity charges received by assessee from Huawei India for international communication services does not constitute fee for technical services under section 9(i)(vii). The tribunal found that connectivity services were merely ancillary to inter-connect services and part of product processing, rejecting revenue's contention that these constituted technical, managerial, or consultancy services. Following Bharti Airtel Ltd. SC precedent, only the 1% markup earned by assessee on reimbursement was held taxable under appropriate provisions. Case-Laws Income Tax Wed, 19 Jun 2024 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=754328