AI Drafter 
TaxTMI 
TaxTMI 
2018 (5) TMI 1726
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....ppellant, DY. Commissioner of Income Tax, Circle-2(1)(2), (Intl. Tax), New Delhi. (hereinafter referred to as 'the revenue') by filing the present appeals, sought to set aside the impugned orders dated 10.04.2015 & 15.04.2015 qua Assessment Years 2009-10 & 2010-11 respectively passed by Ld. CIT(A)-43, New Delhi on the identical ground that:- " The Ld. CIT(A) has erred in holding that the ground handling and the technical handling services rendered by the assessee to the other airlines in India are part of the business of the assessee from the operation of aircraft in international traffic as per article 8 of the DTAA between India and Netherlands." 3. Briefly stated the facts necessary for adjudication of the controversy at hand....
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....d circumstances of the case. 6. Undisputedly, the Ld. CIT(A) has granted the relief to assessee company by following the decisions rendered by the Tribunal in AYs 2004-05, 2005-06, 2006-07 & 2007-08 keeping in view the identical facts and arrived at the conclusion that the assessee company's income from technical handling services is covered by Article 8 of DTAA between India and Netherland. 7. The Ld. AR for the assessee brought on record decisions rendered by Coordinate Bench of Tribunal in assessee's own case from 2004-05 to 2008-09, available at pages 1-47 of the Paper Book. It is also brought to our notice by the Ld. AR for the assessee that the Revenue has challenged the decisions rendered by Tribunal in assessee's own case in t....
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....s a significant distinction between these three sets of DTAA. The position in the Indo-German DTAA and Indo-Dutch DTAA on the one hand is similar, whereas, in the case of the Indo- UK DTAA, there is a difference. The ITAT while explaining the meaning of profit from the operation of ships or aircraft in international traffic- in both Lufthansa and the KLM cases took into consideration the bye- laws of IATP, because this organization authorized its members to share aircrafts, aircrafts pooling, ground handling equipment and manpower all over the world. The ITAT also considered the relevant clauses of the IATP manual and held that any receipt by the assessee due to participation in the IATP pool as provided in its manual and dealt with in Arti....
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.... services and different establishment at International Airports New Delhi did not form part and parcel of the operation of British Airways pertaining to the operation of aircrafts in international traffic. There is no such finding in the present appeals. (iii) British Airways' services and facilities in India to the other airlines was a commercial activity. The excess/idle capacity was provided to various airlines at a price. The services provided in terms of the IATP manual are not based on any consideration paid or received; a system of credits has been created for IATP members. (iv) British Airways has a branch office in India, which constituted a Permanent Establishment ("PE") in India, and, therefore, the income deriv....
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....ied on by the owners or lessees or charterers of aircraft, including the sale of tickets for such transportation on behalf of other enterprise, the incidental lease of aircraft on a charter basis and any other activity directly connected with such transportation... " had the effect of limiting the nature of activities that could be comprehended in the pool envisioned in Article 8 (2): in other words, the expanded meaning of operation of aircraft included those activities in Article 8(3) through the extended definition and no more. On the other hand, there is no such limitation in the DTAAs in question, in these cases. This constituted the most significant difference between the two sets of cases on the one hand, and British Airways (supra) ....