https://www.taxtmi.com/caselaws?id=765581 Paragraph 9 of the CBDT Circular No. 07/2007 was held ultra vires because the Board cannot, under delegated power, deny a statutory claim to refund absent explicit legislative authority; consequently limitation prescription in the circular could not bar refund applications. The court applied the commercial expediency principle from S.A. Builders to hold that interest and liabilities assumed in relation to foreign group operations qualified as expenditures incurred for earning income from sources outside India, sustaining deductibility and supporting entitlement to refund. The impugned rejection was quashed and the petitioner declared eligible for refund of excess tax deducted under Section 195 for the relevant years. en-us Fri, 31 Jan 2025 00:00:00 +0530 Mon, 09 Feb 2026 15:04:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=765581 Paragraph 9 of the CBDT Circular No. 07/2007 was held ultra vires because the Board cannot, under delegated power, deny a statutory claim to refund absent explicit legislative authority; consequently limitation prescription in the circular could not bar refund applications. The court applied the commercial expediency principle from S.A. Builders to hold that interest and liabilities assumed in relation to foreign group operations qualified as expenditures incurred for earning income from sources outside India, sustaining deductibility and supporting entitlement to refund. The impugned rejection was quashed and the petitioner declared eligible for refund of excess tax deducted under Section 195 for the relevant years. Case-Laws Income Tax Fri, 31 Jan 2025 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=765581