AI Drafter 
TaxTMI 
TaxTMI 
2021 (4) TMI 951
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....uant to selection of his return of income for scrutiny under CASS, the assessee was required to furnish certain information and the said information was furnished by the assessee. 3. On verification of Form-16 issued by the assessee's employer i.e., IBM India (P) Ltd for the A.Y 2014-15, the Assessing Officer found that during the relevant A.Y, the gross salary of the assessee was Rs. 36,61,667/- and the exempt income u/s 10 of the I.T. Act was Rs. 53,676/-. The Assessing Officer observed that the employer had deducted the tax at source of Rs. 8,61,345/-. Further, on verification of the total income filed by the assessee along with the return of income for the A.Y 2014-15, the Assessing Officer found that the assessee has claimed doub....
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....the above, any salary income earned by a tax resident of Austria for services rendered in Austria is taxable only in Austria. In case services have been rendered in India the income for work days spent in India is taxable in India. The Assessee wishes to submit that for the captioned AY, he was a tax resident of Austria and a non- resident in India. Hence, the salary received with respect to the services rendered in Austria is not taxable as per article 15(1) of the India- Austria DTAA. In view of the above, in the return of income filed, the Assessee has claimed exemption of the salary income of INR 16,28,920 under Article 15(1) of India- Austria DTAA. In view of the above facts, we wish to inform your g....
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.... the gross salary i.e. Rs. 36,61,667/- received by assessee in India. The employer has not stated of paying any allowances outside India". 2.3 The learned Counsel for the assessee while reiterating the submissions made before the authorities below have submitted that the same issue had arisen in the case of similar employees of IBM Ltd before the Tribunal and the Tribunal has granted relief to the assessee in support there several orders of the decisions of the Coordinate Bench of the Tribunal are placed before the Tribunal. 2.4 The learned DR was also heard who supported the orders of the authorities below. 3. Having regard to the rival contentions and the material on record, I find that in the case of Sreenivasa Reddy Cheemalamar....
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....on of the same before the Ld. Revenue Authorities shall not enable the Ld. Revenue Authorities not to grant the benefit of the Treaty to the assessee. Therefore, the Ld. Revenue Authorities have erred in not granting the benefit of the Treaty to the assessee just for the reason that the assessee has not submitted the Tax Residency Certificate from Austria. The Ahmedabad Bench of the Tribunal in the case of Skaps Industries India (P.) Ltd vs. ITO, International Taxation, Ahmedabad reported in 171 ITD 723 taking cue from the decision of the Hon'ble P & H High Court in the case of Secro BPO (P.) Ltd vs. Authority for Advance Ruling reported in 379 ITR 256 had held that "Whatever may have been the intention of the lawmakers and whatever the....
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....should be earned in respect of employment exercised in Austria. 14. From the facts of the case it is apparent that during the previous relevant to AY 2014-15, the assessee qualifies as a non-resident in India and as a tax resident in Austria. The salary and allowances are earned by the assessee in respect of employment rendered in Austria due to his foreign assignment. Hence, the first two conditions enumerated under Article 15(1) of the India-Austria DTAA stands satisfied. Therefore, the assessee 's claim of exemption in regard to his salary income as per the provisions of Article 15(1) of the India-Austria DTAA in the return of income filed by him is appropriate. 15. Further in the case of ITO Vs. Sunil Chitranjan Mu....