TaxTMI 
TaxTMI 
2010 (9) TMI 717
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....ceived by the assessee from providing services was taxable under section 9(1) of the Income-tax Act or article 12 of the Indo-Canadian Treaty ? 2. Whether the Income-tax Appellate Tribunal erred in holding that the assessee is not liable to pay advance tax and therefore interest under section 234B is not chargeable ?" 4. The issue relating to the payment of interest on advance tax under section 234B of the Act has been decided by this court in a recent judgment of this court in I. T. A. No. 491 of 2008 and other connected matters dated August 30, 2010 entitled Director of Income-tax v. Mitsubishi Corporation [2011] 330 ITR 578 (Delhi) in favour of the assessee and against the Revenue and accordingly the question relating to chargeability ....
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....cribed in article 12(4) of the Double Taxation Avoidance Agreement (DTAA) between India and Canada. In terms of this article, the tax chargeable is at 15 per cent. The Assessing Officer, however, was of the opinion that the fee charged for the aforesaid project did not include "fee for included services". He accordingly was of the opinion, that the income which was derived as fee for technical services was chargeable to tax as per the provisions of section 9(1)(vii) read with section 115A of the Act. As per this section, the tax chargeable is at 20 per cent. The Tribunal has however, accepted the contention of the assessee and has held that the tax payable by the assessee on the aforesaid fee would be at 15 per cent. 7. The question, in th....
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....ided by the assessee falls under the second category, i.e., development and transfer of technical plan or technical design. 9. The submission of Mr. Sabharwal, the learned counsel appearing for the Revenue, however, is that paragraph (b) is not to be segregated in the manner indicated by us above. He submits that the opening words of this paragraph, i.e., "make available" qualify the rest of the services which are stipulated therein. His submission, thus, is that unless the development and transfer of technical plan or technical design is made available, the assessee would not be covered under paragraph (4) of article 12. In continuation, he argues that the two designs provided by the assessee were for the specific purpose name....