CIT v. Bharati Cellular Ltd.

392 ITR 186Supreme Court of India2017#833 most cited

What is CIT v. Bharati Cellular Ltd. authority for?

For a payment to qualify as "fees for technical services" under Section 9(1)(vii) of the Income Tax Act, direct human intervention in rendering the service is essential. Payments for automated software systems, online platforms, or database access without human involvement in delivering the service are not considered fees for technical services.

125

judgments rely on this decision, according to BharatTax’s citation analysis of 366,470 Indian tax judgments — from 2015 to 2025.

Also referred to as

CIT v Bharati Cellular Ltd · 392 ITR 186 · Section 9(1)(vii) Income Tax Act · fees for technical services · FTS definition · human intervention · automated software system · no FTS without human element · technical services DTAA · 194J TDS · Explanation 2 to Section 9(1)(vii)

Also reported as

193 Taxmann 97

Sections most often in play

Section 1961Section 143(3)Section 9(1)(vii)Section 144C(13)Section 270ASection 194JSection 40(a)(ia)Section 9(1)(vii) of the Income Tax Act

Issues it is cited on

use of equipmentcopyrighted articlesection 9(1)(vii)fees for included servicesfees for technical servicessection 9(1)(vi)section 195(2)section 194hsection 9(1)section 115asection 194jtax treaty

Judgments citing CIT v. Bharati Cellular Ltd.

Idea Cellular Limited (As Successor to Spice Communications Limited), Mumbai vs. Dy. CIT, Circle- 3(2), Mumbai

In the result, the appeals of the Revenue are dismissed

ITA 3425/MUM/2014[2009-10]Status: DisposedITAT Mumbai24 Feb 2023AY 2009-10

Bench: The Ld. Cit(A) Is Interconnected With Ground No.Ii. Hence, They Are Taken Up Together For Disposal.

Section 143(3)Section 194HSection 40Section 40a

…IN THE INCOME TAX APPELLATE TRIBUNAL, ‘I-2‘ BENCH MUMBAI BEFORE: SHRI VIKAS AWASTHY, JUDICIAL MEMBER & SHRI M.BALAGANESH, ACCOUNTANT MEMBER M/s. Vodafone Idea Ltd.(As Vs. Dy.Commissioner of Income successor to Spice Tax, Circle-3(2) Room No.608, 6th Floor Communications Limited 10th Floor, Birla Centurion Aayakar Bhavan Century Mills Compound M.K.Road, Mumbai-400020 Pandurang Budhkar Marg Worli, Mumbai – 400 030 PAN/GIR No.AAACB2100P (Appellant) .. (Respondent) Assessee by Shri J.D. Mistry & Ms. Manshi Padhiar Revenue by Shri T.Shankar Date of Hearing 01/12/2022 Date of Pronouncement 24/02/2023 आदेश / O R…

DCIT, Circle-19(2), New Delhi vs. Personiv Contact Centres India Pvt Ltd ( Formely Known As John Keels Bpo Solutions Pvt. Ltd.), Gurgaon

In the result, the appeal of the Revenue stands dismissed

ITA 7295/DEL/2019[2016-17]Status: DisposedITAT Delhi22 Feb 2023AY 2016-17
For Appellant: Shri Pulkit Saini, AdvocateFor Respondent: Shri K.K. Mishra, Senior DR
Section 143(3)Section 40Section 9(1)(vii)

…383 ITR 1 ( SC) CIT v. Kotak Securities Ltd. (iv) 290 CTR 436 (Kar) CIT v. Vodafone South Ltd. (v) 194 ITD 253 (Del) Autoliv ASP Inc. v. DCIT (vi) 251 ITR 53 (Mad) Skycell Communications Ltd. v. DCIT (vii) 319 ITR 139 (Del) CIT v. Bharti Cellular Ltd. (viii) 392 ITR 186 (SC) DIT (International Taxation) v. AP. Moller Maersk A/S (ix) 117 TTJ 456 (Del) Millennium Infocom Technologies Ltd. v. ACIT (x) 118 taxmann.com 2 (Mum) Edenred Pte. Ltd. v. Dy. DIT(IT) (xi) 182 ITD 526 (Bang.) Edgeverve Systems Ltd. v. Dy. Asstt. CIT (IT) 13 ITA No.7295/Del./2019 (xii) 173 DTR 308 (Pune) EPRSS Prepaid Recharge Services India…

Aptean India Private Limited, Bangalore vs. Assistant Commissioner of Income Tax, Circle-1(1)(1), Bangalore

In the result, the appeal filed by the assessee stands partly allowed

ITA 422/BANG/2022[2017-18]Status: DisposedITAT Bangalore20 Jan 2023AY 2017-18

Bench: Shri Chandra Poojari & Smt. Beena Pillaiit(Tp)A No. 422/Bang/2022 Assessment Year : 2017-18 M/S. Aptean India Pvt. Ltd., 1/2, 8Th Floor, Level 5, The Assistant Golden Heights, Commissioner Of 59Th C Cross Road, Income Tax, 4Th M Block, Circle – 1(1)(1), Rajajinagar, Vs. Bangalore. Bangalore – 560 010. Pan: Aaacc5890M Appellant Respondent : Smt. Tanmayee Rajkumar, Assessee By Advocate : Shri Praveen Karanth, Cit- Revenue By Dr Date Of Hearing : 03-11-2022 Date Of Pronouncement : 20-01-2023 Order Per Beena Pillaipresent Appeal Is Filed By Assessee Against The Final Assessment Order Dated 25/03/2022 Passed By Nfac, Delhi For A.Y. 2017-18 On Following Grounds Of Appeal: “The Grounds Mentioned Herein By The Appellant Are Without Prejudice To One Another General Ground 1. On The Facts & In The Circumstances Of The Case & In Law, Final Assessment Order Passed By National Faceless

For Respondent: Smt. Tanmayee Rajkumar
Section 143(3)Section 92D

…h a reconciliation at page 663 of the paperbook. In view thereof, the payments made are not liable for tax deduction at source under Section 195 of the Act. Reliance in this regard is placed on the following: - DIT v. A.P. MollerMaersk A S (reported in (2017) 392 ITR 186 (SC) at paragraphs 10 and 11); - CIT v. Tejaji Farasram Kharawalla Ltd. (reported in (1968) 67 ITR 95 (SC)); - CIT v. Industrial Engineering Projects (P.) Ltd. (reported in (1993) 202 ITR 1014 (Delhi)); - CIT v. Dunlop Rubber Co. Ltd. (reported in (1983) 142 ITR 493 (Cal.)); and Page 18 IT(TP)A No. 422/Bang/2022 - CIT v. Siemens Aktiongesellschaf…

Renaissance Services Bv, Mumbai vs. DCIT (International Tax) 4(1) (1), Mumbai

In the result, appeal filed by assessee is allowed

ITA 1526/MUM/2021[2016-17]Status: DisposedITAT Mumbai25 Nov 2022AY 2016-17

Bench: Shri Vikas Awasthy & Shri Gagan Goyalrenaissance Services Bv, C/O Marriott Hotels India Pvt. Ltd. 303A, 304, Fulcrum, B-Wing, Hiranandani Business Park, Sahar Road, Andheri (East), Mumbai-400099 Pan: Aaecr4995E ...... Appellant Vs. Dcit (International Taxation)-4(1)(1), 17Th Floor, Room No. 1712, Air India Building, Nariman Point, Mumbai-400021 ..... Respondent

For Appellant: Sh. Paras Savla/Pratik PoddarFor Respondent: Sh. Soumendu Kumar Dash- Sr. DR
Section 143(2)Section 250Section 9(1)(vi)Section 9(1)(vii)

…services provided by Stock Exchange, as the same were not services which were specifically sought for by the user or consumer. The Hon'ble Apex Court following the aforesaid view, had thereafter observed in the case of CIT (T)-1 Vs. AP Moller Maersk AS (2017) 392 ITR 186 (SC), that where the assessee, it foreign shipping company had set up a telecommunication system in order to enable its agents across globe including India to perform their role more effectively, the payment received for providing such facility was not taxable as fee for technical services. We have perused the facts of the case before us and offe…

Spencer Stuart International B.V. Tax, Mumbai vs. The ACIT (It) -4(2)(2), Mumbai

In the result, appeal by the assessee is allowed for statistical purpose

ITA 514/MUM/2022[2019-20]Status: DisposedITAT Mumbai04 Nov 2022AY 2019-20

Bench: Shri Pramod Kumar & Shri Sandeep Singh Karhail

For Appellant: Shri Mukesh Butani a/wFor Respondent: Shri Lovish Kumar
Section 143(3)Section 144C(13)Section 144C(5)Section 195Section 9(1)(vii)

…rsement of expenses in favour of the Appellant's own case for assessment years 2011 12, 2014-15 and 2015-16 and the Hon'ble ITAT applied the principles laid down by the Hon'ble Supreme Court in the case of DIT (International Taxation) v. A.P. Moller Maersk AS 392 ITR 186 (SC). D. Interest under section 234D 21. The learned Assessing Officer erred in levying interest of Rs.62,798 under section 234D of the Act on excess refund granted without appreciating the fact that the refund received by the appellant is not in excess of its entitlement arising on account of non-taxability of search fees, management fees and re…

Spencer Stuart International B.V., Mumbai vs. ACIT (It) 4(2)(2), Mumbai

In the result, appeal by the assessee is allowed

ITA 318/MUM/2022[2018-19]Status: DisposedITAT Mumbai04 Nov 2022AY 2018-19

Bench: Shri Pramod Kumar & Shri Sandeep Singh Karhail

For Appellant: Shri Mukesh Butani a/wFor Respondent: Shri Lovish Kumar
Section 143(3)Section 144C(13)Section 144C(5)Section 195Section 9(1)(vii)

…e for assessment years 2011-12, 2014-15 and 2015-16 and the Hon'ble ITAT applied the principles laid down by Spencer Stuart International B.V. ITA No.318/Mum./2022 the Hon'ble Supreme Court in the case of DIT (International Taxation) v. A.P. Moller Maersk AS 392 ITR 186 (SC). 13. Each one of the above grounds of appeal is without prejudice to the other.” 3. The brief facts of the case are: The assessee is a tax resident of Netherlands and is entitled to the benefits of India-Netherlands tax treaty. For the year under consideration, assessee filed its return of income on 29/11/2018 declaring total income of Rs.…

Spencer Stuart International B.V., Mumbai vs. The Asstt. CIT (International Taxation)-4(2)(2), Mumbai

In the result, appeals filed by the assessee are allowed

ITA 1148/MUM/2021[2016-17]Status: DisposedITAT Mumbai06 Sept 2022AY 2016-17

Bench: Shri Amit Shukla, Hon'Ble & Shri S. Rifaur Rahman, Hon'Ble

Section 143(3)Section 144CSection 144C(5)Section 195Section 9(1)(vii)

…rsement of expenses in favour of the Appellant's own case for assessment years 2011-12, 2014-15 and 2015-16 and the Hon'ble ITAT applied the principles laid down by the Hon'ble Supreme Court in the case of DIT (International Taxation) v. A.P. Moller Maersk AS 392 ITR 186 (SC). 13. Each one of the above grounds of appeal is without prejudice to the other. 14. The appellant prays leave to add, amend, alter, delete or forego any of the grounds either before or during the course of hearing.” (A.Ys. 2016-17 & 2017-18) Spencer Stuart International B.V. 4. At the outset, with regard to Ground No. 1 which is in respect o…

The Commissioner of Income-Tax vs. M/S Bangalore Metro Rail Corporation Ltd

ITA/60/2014HC Karnataka30 Jun 2022

Bench: P.S.DINESH KUMAR,ANANT RAMANATH HEGDE

Section 260Section 9(1)(vii)

…the recipient or consideration which would be income of the recipient chargeable under the head ‘Salaries’ ” 8 (2017)392 ITR 186 (SC) (para 15) 9 (2015)60 Taxmann.com 71 (SC) I.T.A. No.60/2014 C/W I.T.A. No.59/2014 11 15. It…

The Commissioner of Income-Tax vs. M/S Bangalore Metro Rail Corporation Ltd

ITA/59/2014HC Karnataka30 Jun 2022

Bench: P.S.DINESH KUMAR,ANANT RAMANATH HEGDE

Section 260Section 9(1)(vii)

…the recipient or consideration which would be income of the recipient chargeable under the head ‘Salaries’ ” 8 (2017)392 ITR 186 (SC) (para 15) 9 (2015)60 Taxmann.com 71 (SC) I.T.A. No.60/2014 C/W I.T.A. No.59/2014 11 15. It…

DCIT (It) -4(1) (1), Mumbai vs. Renaissance Services Bv, Mumbai

1758/Mum/2021 2013-14

ITA 1759/MUM/2021[2015-16]Status: DisposedITAT Mumbai27 Jun 2022AY 2015-16
Section 143(3)Section 9(1)(vi)Section 9(1)(vii)

…ices‟ provided by Stock Exchange, as the same were not services which were specifically sought for by the user or consumer. The Hon‟ble Apex Court following the aforesaid view, had thereafter observed in the case of CIT (IT)-1 Vs. A.P Moller Maersk A S (2017) 392 ITR 186 (SC), that where the assessee, a foreign shipping company had set up a telecommunication system in order to enable its agents across globe including India to perform their role more effectively, the payment received for providing such facility was not taxable as fee M/s. Renaissance Services BV for technical services. We have perused the facts o…

DCIT (It) -4 (1) (1), Mumbai vs. Renaissance Services Bv, Mumbai

1758/Mum/2021 2013-14

ITA 1758/MUM/2021[2013-14]Status: DisposedITAT Mumbai27 Jun 2022AY 2013-14
Section 143(3)Section 9(1)(vi)Section 9(1)(vii)

…ices‟ provided by Stock Exchange, as the same were not services which were specifically sought for by the user or consumer. The Hon‟ble Apex Court following the aforesaid view, had thereafter observed in the case of CIT (IT)-1 Vs. A.P Moller Maersk A S (2017) 392 ITR 186 (SC), that where the assessee, a foreign shipping company had set up a telecommunication system in order to enable its agents across globe including India to perform their role more effectively, the payment received for providing such facility was not taxable as fee M/s. Renaissance Services BV for technical services. We have perused the facts o…

Renaissance Services Bv, Mumbai vs. ACIT (International Tax) 4(1) (1), Mumbai

1758/Mum/2021 2013-14

ITA 1453/MUM/2021[2015-16]Status: DisposedITAT Mumbai27 Jun 2022AY 2015-16
Section 143(3)Section 9(1)(vi)Section 9(1)(vii)

…ices‟ provided by Stock Exchange, as the same were not services which were specifically sought for by the user or consumer. The Hon‟ble Apex Court following the aforesaid view, had thereafter observed in the case of CIT (IT)-1 Vs. A.P Moller Maersk A S (2017) 392 ITR 186 (SC), that where the assessee, a foreign shipping company had set up a telecommunication system in order to enable its agents across globe including India to perform their role more effectively, the payment received for providing such facility was not taxable as fee M/s. Renaissance Services BV for technical services. We have perused the facts o…

Ey Global Services Ltd, Uk vs. ACIT, Circle-1(2)(2) (International Taxation), New Delhi

In the result, all the appeals filed by the assessee stand allowed for

ITA 7020/DEL/2019[2015-16]Status: DisposedITAT Delhi01 Jun 2022AY 2015-16
For Appellant: Shri Rajan Vora, CAFor Respondent: Shri Sanjay Kumar, Senior DR
Section 158A

…owing the ruling of Hon'ble AAR in appellant's own case and ignoring the rulings of various Hon'ble High Courts on similar issue including jurisdictional Hon'ble Delhi High Court and also ruling by Hon'ble Supreme Court in case of A.P. Moller Maersk AS (2017) 392 ITR 186 holding that reimbursement of communication network charges is not taxable. 3.1. That the Ld. CIT(A) has also erred in facts and in law in holding that no appeal is maintainable on above ground as the matter has already been decided by AAR in appellant's own case, and while doing so has ignored the rulings of Hon'ble High Courts on similar issue…

Ey Global Services Ltd, Uk vs. ACIT, Circle-1(2)(2) (International Taxation), New Delhi

In the result, all the appeals filed by the assessee stand allowed for

ITA 7019/DEL/2019[2014-15]Status: DisposedITAT Delhi01 Jun 2022AY 2014-15
For Appellant: Shri Rajan Vora, CAFor Respondent: Shri Sanjay Kumar, Senior DR
Section 158A

…owing the ruling of Hon'ble AAR in appellant's own case and ignoring the rulings of various Hon'ble High Courts on similar issue including jurisdictional Hon'ble Delhi High Court and also ruling by Hon'ble Supreme Court in case of A.P. Moller Maersk AS (2017) 392 ITR 186 holding that reimbursement of communication network charges is not taxable. 3.1. That the Ld. CIT(A) has also erred in facts and in law in holding that no appeal is maintainable on above ground as the matter has already been decided by AAR in appellant's own case, and while doing so has ignored the rulings of Hon'ble High Courts on similar issue…

Ey Global Services Ltd, Uk vs. ACIT, Circle-1(2)(2) (International Taxation), New Delhi

In the result, all the appeals filed by the assessee stand allowed for

ITA 7018/DEL/2019[2013-14]Status: DisposedITAT Delhi01 Jun 2022AY 2013-14
For Appellant: Shri Rajan Vora, CAFor Respondent: Shri Sanjay Kumar, Senior DR
Section 158A

…owing the ruling of Hon'ble AAR in appellant's own case and ignoring the rulings of various Hon'ble High Courts on similar issue including jurisdictional Hon'ble Delhi High Court and also ruling by Hon'ble Supreme Court in case of A.P. Moller Maersk AS (2017) 392 ITR 186 holding that reimbursement of communication network charges is not taxable. 3.1. That the Ld. CIT(A) has also erred in facts and in law in holding that no appeal is maintainable on above ground as the matter has already been decided by AAR in appellant's own case, and while doing so has ignored the rulings of Hon'ble High Courts on similar issue…

Ey Global Services Ltd, Uk vs. ACIT, Circle-1(2)(2) (International Taxation), New Delhi

In the result, all the appeals filed by the assessee stand allowed for

ITA 7017/DEL/2019[2012-13]Status: DisposedITAT Delhi01 Jun 2022AY 2012-13
For Appellant: Shri Rajan Vora, CAFor Respondent: Shri Sanjay Kumar, Senior DR
Section 158A

…owing the ruling of Hon'ble AAR in appellant's own case and ignoring the rulings of various Hon'ble High Courts on similar issue including jurisdictional Hon'ble Delhi High Court and also ruling by Hon'ble Supreme Court in case of A.P. Moller Maersk AS (2017) 392 ITR 186 holding that reimbursement of communication network charges is not taxable. 3.1. That the Ld. CIT(A) has also erred in facts and in law in holding that no appeal is maintainable on above ground as the matter has already been decided by AAR in appellant's own case, and while doing so has ignored the rulings of Hon'ble High Courts on similar issue…

ACIT, Delhi vs. M/S. Unitech Wireless Tamilnadu Pvt. Ltd., New Delhi

In the result, the ground of appeal raised by the revenue is allowed for statistical purpose

ITA 2926/DEL/2015[2012-13 (F.Y. 2011-12)]Status: DisposedITAT Delhi31 May 2022

Bench: Sh. Saktijit Deydr. B. R. R. Kumar

For Appellant: Sh. Deepak Chopra, Adv. &For Respondent: Sh. H. K. Choudhary, CIT DR
Section 133ASection 194HSection 201(1)

…IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH ‘G’, NEW DELHI Before Sh. Saktijit Dey, Judicial Member Dr. B. R. R. Kumar, Accountant Member ITA No. 2355/Del/2015 : Asstt. Year : 2010-11 ITA No. 2356/Del/2015 : Asstt. Year : 2011-12 Unitech Wireless (Tamil Nadu) Pvt. Ltd., Vs ACIT, The Master Piece Building, Golf Course Circle-78(1), Road, Sector-54, Gurgaon, New Delhi-110092 Haryana-122001 (APPELLANT) (RESPONDENT) PAN No. AAACU9188Q ITA No. 2925/Del/2015 : Asstt. Year : 2011-12 ITA No. 2926/Del/2015 : Asstt. Year : 2012-13 ACIT, Vs Unitech Wireless (Tamil Nadu) Pvt. Ltd., Circle-78(1), Basement, 6, Community C…

ACIT, Delhi vs. M/S. Unitech Wireless Tamilnadu Pvt. Ltd., New Delhi

In the result, the ground of appeal raised by the revenue is allowed for statistical purpose

ITA 2925/DEL/2015[2011-12 (F.Y. 2010-11)]Status: DisposedITAT Delhi31 May 2022

Bench: Sh. Saktijit Deydr. B. R. R. Kumar

For Appellant: Sh. Deepak Chopra, Adv. &For Respondent: Sh. H. K. Choudhary, CIT DR
Section 133ASection 194HSection 201(1)

…IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH ‘G’, NEW DELHI Before Sh. Saktijit Dey, Judicial Member Dr. B. R. R. Kumar, Accountant Member ITA No. 2355/Del/2015 : Asstt. Year : 2010-11 ITA No. 2356/Del/2015 : Asstt. Year : 2011-12 Unitech Wireless (Tamil Nadu) Pvt. Ltd., Vs ACIT, The Master Piece Building, Golf Course Circle-78(1), Road, Sector-54, Gurgaon, New Delhi-110092 Haryana-122001 (APPELLANT) (RESPONDENT) PAN No. AAACU9188Q ITA No. 2925/Del/2015 : Asstt. Year : 2011-12 ITA No. 2926/Del/2015 : Asstt. Year : 2012-13 ACIT, Vs Unitech Wireless (Tamil Nadu) Pvt. Ltd., Circle-78(1), Basement, 6, Community C…

M/S. Unitech Wireless (Tamilnadu) Pvt. Ltd., Gurgaon vs. ACIT, New Delhi

In the result, the ground of appeal raised by the revenue is allowed for statistical purpose

ITA 2356/DEL/2015[2011-12]Status: DisposedITAT Delhi31 May 2022AY 2011-12

Bench: Sh. Saktijit Deydr. B. R. R. Kumar

For Appellant: Sh. Deepak Chopra, Adv. &For Respondent: Sh. H. K. Choudhary, CIT DR
Section 133ASection 194HSection 201(1)

…IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH ‘G’, NEW DELHI Before Sh. Saktijit Dey, Judicial Member Dr. B. R. R. Kumar, Accountant Member ITA No. 2355/Del/2015 : Asstt. Year : 2010-11 ITA No. 2356/Del/2015 : Asstt. Year : 2011-12 Unitech Wireless (Tamil Nadu) Pvt. Ltd., Vs ACIT, The Master Piece Building, Golf Course Circle-78(1), Road, Sector-54, Gurgaon, New Delhi-110092 Haryana-122001 (APPELLANT) (RESPONDENT) PAN No. AAACU9188Q ITA No. 2925/Del/2015 : Asstt. Year : 2011-12 ITA No. 2926/Del/2015 : Asstt. Year : 2012-13 ACIT, Vs Unitech Wireless (Tamil Nadu) Pvt. Ltd., Circle-78(1), Basement, 6, Community C…

M/S. Unitech Wireless (Tamilnadu) Pvt. Ltd., Gurgaon vs. ACIT, New Delhi

In the result, the ground of appeal raised by the revenue is allowed for statistical purpose

ITA 2355/DEL/2015[2010-11]Status: DisposedITAT Delhi31 May 2022AY 2010-11

Bench: Sh. Saktijit Deydr. B. R. R. Kumar

For Appellant: Sh. Deepak Chopra, Adv. &For Respondent: Sh. H. K. Choudhary, CIT DR
Section 133ASection 194HSection 201(1)

…IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH ‘G’, NEW DELHI Before Sh. Saktijit Dey, Judicial Member Dr. B. R. R. Kumar, Accountant Member ITA No. 2355/Del/2015 : Asstt. Year : 2010-11 ITA No. 2356/Del/2015 : Asstt. Year : 2011-12 Unitech Wireless (Tamil Nadu) Pvt. Ltd., Vs ACIT, The Master Piece Building, Golf Course Circle-78(1), Road, Sector-54, Gurgaon, New Delhi-110092 Haryana-122001 (APPELLANT) (RESPONDENT) PAN No. AAACU9188Q ITA No. 2925/Del/2015 : Asstt. Year : 2011-12 ITA No. 2926/Del/2015 : Asstt. Year : 2012-13 ACIT, Vs Unitech Wireless (Tamil Nadu) Pvt. Ltd., Circle-78(1), Basement, 6, Community C…