https://www.taxtmi.com/caselaws?id=755434 ITAT Chennai held that reopening of assessment was justified where assessee claimed 15% tax rate under Indo-Cyprus DTAA instead of 25% under Income Tax Act on royalty receipts. AO found assessee acted as conduit entity for royalty payments without value addition, making it ineligible for treaty benefits as non-beneficial owner. ITAT dismissed jurisdictional challenges regarding reopening and draft assessment order procedures. However, since substantive merits arguments were raised for first time on appeal, matter was restored to AO for re-adjudication on whether assessee qualified as beneficial owner and alternative Germany DTAA rate claims. en-us Wed, 10 Jul 2024 00:00:00 +0530 Fri, 12 Jul 2024 08:37:34 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=755434 ITAT Chennai held that reopening of assessment was justified where assessee claimed 15% tax rate under Indo-Cyprus DTAA instead of 25% under Income Tax Act on royalty receipts. AO found assessee acted as conduit entity for royalty payments without value addition, making it ineligible for treaty benefits as non-beneficial owner. ITAT dismissed jurisdictional challenges regarding reopening and draft assessment order procedures. However, since substantive merits arguments were raised for first time on appeal, matter was restored to AO for re-adjudication on whether assessee qualified as beneficial owner and alternative Germany DTAA rate claims. Case-Laws Income Tax Wed, 10 Jul 2024 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=755434