2003 (7) TMI 28

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.... the OIL on behalf of the company falls under section 44BB(2) and therefore, only 10 per cent. of that amount may be treated as income of the assessee? 2. Observing that the amount of corporate taxes paid by the OIL on behalf of the non-resident company does not amount to perquisite within the meaning of section 28 (iv)?" The relevant assessment years are 1985-86 to 1988-89. The assessee, M/s. Compagine General-de-Geophysique, a non-resident company, entered into a contract with Oil India Ltd., for exploration, production and transportation of crude oil and natural gas. Amongst the terms of the contract, the corporate tax of the NRE company was to be borne by Oil India Ltd. As per those terms, Oil India Ltd. paid the contracted sums f....

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....d by the Oil India Ltd., on behalf of the assessee. That view has been affirmed even by the Taxation Tribunal. None appeared for the assessee. We have heard learned counsel for the Department, Mr. Bhandawat, who has supported case of the Department and the view taken by the Assessing Officer and also furnished details and total receipts as also amount of tax paid in all the four years: Details of total receipts and amount paid: ------------------------------------------------------------------------------------- Assessment year       Amount received        Tax paid       Surtax paid --------------------------------------------------....