TaxTMI 
TaxTMI 
2024 (6) TMI 1617
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....e case and in law, the AO has erred in assessing the total income of the Appellant at INR 8,06,82,621, in pursuance to the directions issued by the DRP, as against the returned income of INR 85,23,950. 2. That on the facts and in the circumstances of the case and in law, the directions issued by the DRP are bad in law, void ab initio and liable to be quashed as the same have been passed in violation of the provisions of sub-section (8) to section 144C of the Act. 2.1 That on the facts and in the circumstances of the case and in law, the DRP has erred in directing the AO to pass a speaking order after considering the factual and legal submissions filed by the Appellant in support of his claim of allowability of salary incom....
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....in alleging that the Appellant did not submit the documentary evidence in relation to the salary income offered for taxation in Korea, not appreciating that the requisite documentary evidences in relation thereto were duly submitted during the course of assessment proceedings. 8. That on the facts and circumstances of the case and in law, the AO/DRP have erred in levying interest under section 234B of the Act. 9. That on the facts and circumstances of the case and in law, the AO/DRP have erred in levying interest under section 234D of the Act. 10. That on the facts and circumstances of the case and in law, the AO has erred in initiating penalty proceedings under section 270A of the Act." 3. The grounds taken up....
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....d of Rs.1,98,58,099/- which included TDS of Rs.1,89,69,411/- deducted on receipt of Rs. 5,40,07,330/- . It is not in dispute that assessee during the year under consideration was a non-resident. The assessee as a matter of abundant caution and on a conservative basis had offered a sum of Rs.29,86,022/-being the salary proportionate to the period of stay in India for 31 days, in the return of income. The assessee was sent on international assignment to 3M Korea from 3M India Limited effective from June, 2016 and since then he was working in Korea. During the assessment year 2018-19, as stated earlier, the assessee had stayed in India only for a short period of 31 days. The assessee offered the proportionate salary thereon amounting to Rs.29,....
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....nt. In the said return, the salary accrued outside India for services rendered outside India were claimed as exemption in terms of Article 15(1) of India, Korea DTAA. The main contention of the revenue as well as Ld. DR before us, is as per section 9 of the Act, all incomes which had come directly or indirectly through any source in India would be taxable in India. It is not in dispute that during the year the assessee had duly furnished the following documents before the lower authorities:- (a) details regarding the number of days for which the assessee stayed in India from A.Y. 2014-15 to A.Y. 2019-20 to prove the fact that he is not a resident during the year under consideration. (b) Offer letter issued by Indian employ....
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....planation, it is very clear that salary payment could be stated to be earned in India only if the corresponding services are rendered in India. Since in the instant case, the services are rendered outside India which fact is not in dispute before us and hence income cannot be said to be deemed to accrue or arise in India. Further we find that Article 15 (1) of India Korea treaty states that employment income earned by individual is exempt from tax in India if the following conditions are satisfied :- (a) If the individual is resident of Korea; and (b) if the employment is outside India. In the instant case, both the conditions had been satisfied and hence in any event, the salary would not be taxable in India in t....