2022 (7) TMI 1589

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....n the business of providing global logistics services worldwide. The company carried out operations in various segments such as airfreight, ocean freight and ocean services, customs brokerage and import services. The applicant filed its return of income for the assessment year under consideration declaring gross total income of Rs. 76,39,17,441/-. The income was however assessed at Rs. 652,81,50,820/- (against the returned income of Rs. 76,39,17,441). 3. In consequence of the aforesaid assessment order, the assessee states that there is outstanding tax demand of Rs. 70.60 crore and interest thereon of Rs. 31.17 crore. The aggregate demand thus stands at Rs. 101.77 crore. The assessee claims to have already pai....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

.... terms of Explanation 2 to Section 9(1)(vii) of the Act and Article 12(4) of DTAA. It was contended that the issue is covered in favour of the assessee by the decision rendered by the Tribunal in assessee's own case in earlier assessment year; (iii) the third issue concerns reimbursement of lease-line charges. The Assessing Officer whilst relying on the amendment to the Finance Act, 2012 and the decision of Hon'ble Madras High Court in the case of Verizon Communication Singapore Pvt. Ltd. has held that the payments made are in the nature of Royalty and hence, taxable under the Act as well as the DTAA. It was contended that the issue is covered in favour of the assessee rendered by the Tribunal in assessee's own case in earlier assessment ....