Invensys Systems Inc. v. DIT

323 ITR 184Reported decision2010#2890 most cited

What is Invensys Systems Inc. v. DIT authority for?

Payments for services are not taxable as fees for technical services (FTS) under a Double Taxation Avoidance Agreement (DTAA) if the services do not 'make available' any technical knowledge, know-how, or expertise to the recipient in India.

41

judgments rely on this decision, according to BharatTax’s citation analysis of 366,459 Indian tax judgments — from 2016 to 2025.

Also referred to as

Invensys Systems Inc. · Section 9(1)(vii) · Section 195 · fees for technical services · make available clause · DTAA · Article 12(4) · India-Singapore Tax treaty · enduring benefit · use of equipment

Also reported as

183 Taxmann 81

Sections most often in play

Section 1961Section 195Section 40(a)(ia)Section 9(1)(vii)Section 10ASection 10AASection 115JBSection 143(3)

Issues it is cited on

make available clauseuse of equipmentfees for included servicessection 90(1)section 9(l)(vi)depreciation on softwaresection 9(l)section 9(1)(vii)section 9(1)(vii)(b)section 90(2)enduring benefitfees for technical services

Judgments citing Invensys Systems Inc. v. DIT

M/S Balmer Lawries & Co. Ltd., Kolkata vs. Income Tax Officer(It) WD-1(1), Kolkata

In the result, assessee’s appeal stands allowed

ITA 2079/KOL/2014[2012-2013]Status: DisposedITAT Kolkata27 Apr 2016AY 2012-2013

Bench: Shri Mahavir Singh & Shri Waseem Ahmedassessment Year :2012-13 M/S Balmer Lawrie & Co. V/S. Income Tax Officer Ltd., 21, N.S.Road, (International Taxation), Kolkata-700 001 Ward-1(1), Aayakar [Pan No. Aabcb 0984 E] Bhawan (Poorva), 2Nd Floor, R. No.215, 110, Shanti Pally, Kolkata- 700 107 .. अपीलाथ" /Appellant ""यथ"/Respondent Shri M.K.Poddar, Sr-Advocate अपीलाथ" क" ओर से/By Appellant Shri C.P.Bhatia, Jcit-Dr ""यथ" क" ओर से/By Respondent 18-02-2016 सुनवाई क" तार"ख/Date Of Hearing 27-04-2016 घोषणा क" तार"ख/Date Of Pronouncement

Section 195Section 201(1)Section 5(2)(b)

…(2009) 310 ITR 320 (Bom), and the Hon’ble Delhi High Court in Van Oord ACZ India Pvt. Ltd. v. CIT (2010) 323 ITR 130 (Del), the Authority for Advance Rulings in HMS Real Estate Pvt. Ltd., In re (2010) 325 ITR 71 (AAR) and Ernst & Young Pvt. Ltd., In re (2010) 323 ITR 184 (AAR), as well as the Special Bench of the Income Tax Tribunal, Mumbai in Mahindra and Mahindra Ltd. v. DCIT (2009) 313 ITR(AT) 263 (Mum)(SB). 13. The learned JCIT and Senior DR (ITAT), Kolkata, in paragraph 5 of its Written Submissions dated 1st / 14th September, 2015 has himself agreed with the aforesaid contentions of the Appellant Company to…