Ishikawajima Harima Heavy Industries Ltd. v. DIT

288 ITR 408Supreme Court of India2007#187 most cited

What is Ishikawajima Harima Heavy Industries Ltd. v. DIT authority for?

Income from offshore supply of goods and services is not taxable in India if the entire transaction, including transfer of ownership and payments, occurs outside India.

394

judgments rely on this decision, according to BharatTax’s citation analysis of 370,744 Indian tax judgments — from 2010 to 2026.

Also referred to as

Ishikawajima Harima Heavy Industries Ltd v DIT · Section 9(1)(vii) · Section 195 · Section 40(a)(i) · offshore supply of goods · offshore services · income taxable in India · non-resident taxation · make available clause · business connection

Sections most often in play

Section 143(3)Section 234BSection 9(1)(vii)Section 144C(13)Section 144C(5)Section 195Section 234ASection 40(a)(i)

Issues it is cited on

section 44bbbsection 9(2)section 44bbsection 44bsection 195(1)make available clausesection 9(1)(i)agency pebusiness connectionfees for included servicessection 9(1)(vii)section 5(2)

Judgments citing Ishikawajima Harima Heavy Industries Ltd. v. DIT

ADIT, New Delhi vs. Nokia Corportion, Gurgaon

In the result, appeals of the assessee on the grounds- a

ITA 1238/DEL/2010[2006-07]Status: DisposedITAT Delhi02 Sept 2019AY 2006-07

Bench: Sh. Bhavnesh Sainidr. B. R. R. Kumarita No. 1006/Del/2010 : Asstt. Year : 2004-05 Ita No. 1007/Del/2010 : Asstt. Year : 2005-06 Ita No. 1008/Del/2010 : Asstt. Year : 2006-07 Ita No. 5819/Del/2010 : Asstt. Year : 2007-08 Nokia Corporation Vs Asstt. Director Of Income Tax, Circle-2(1), International Taxation, (Formerly Nokia Networks Oy) New Delhi C/O Tarandeep Singh, F-99, Lajpat Nagar-Ii, New Delhi-110024 (Appellant) (Respondent) Pan No. Aabcn3748E Ita No. 1236/Del/2010 : Asstt. Year : 2004-05 Ita No. 1237/Del/2010 : Asstt. Year : 2005-06 Ita No. 1238/Del/2010 : Asstt. Year : 2006-07

For Appellant: Ms. Rashmi Chopra, AdvFor Respondent: Sh. G. K. Dhall, CIT DR

…ompany in Helsinki (Finland). (b) No supply contracts were signed in India. (c) No income can be said to have accrued on account of mere signing of contracts, as upheld by the Hon’ble Supreme Court in the case of Ishikawajima Harima Heavy Industries Co. Ltd. (288 ITR 408) (d) The appellant’s role was limited to supply of telecom equipment and it did not have any role in network planning activities undertaken in India. 6. Not pressed 7. Based on facts and circumstances of the case and in law, the ld. CIT (A) has erred in upholding the action of the learned assessing officer who has arbitrarily imputed Rs 50,000,00…

M/S. Nokia Corporation (Formerly Nokia Networks Oy), New Delhi vs. ACIT, New Delhi

In the result, appeals of the assessee on the grounds- a

ITA 1008/DEL/2010[2006-07]Status: DisposedITAT Delhi02 Sept 2019AY 2006-07

Bench: Sh. Bhavnesh Sainidr. B. R. R. Kumarita No. 1006/Del/2010 : Asstt. Year : 2004-05 Ita No. 1007/Del/2010 : Asstt. Year : 2005-06 Ita No. 1008/Del/2010 : Asstt. Year : 2006-07 Ita No. 5819/Del/2010 : Asstt. Year : 2007-08 Nokia Corporation Vs Asstt. Director Of Income Tax, Circle-2(1), International Taxation, (Formerly Nokia Networks Oy) New Delhi C/O Tarandeep Singh, F-99, Lajpat Nagar-Ii, New Delhi-110024 (Appellant) (Respondent) Pan No. Aabcn3748E Ita No. 1236/Del/2010 : Asstt. Year : 2004-05 Ita No. 1237/Del/2010 : Asstt. Year : 2005-06 Ita No. 1238/Del/2010 : Asstt. Year : 2006-07

For Appellant: Ms. Rashmi Chopra, AdvFor Respondent: Sh. G. K. Dhall, CIT DR

…ompany in Helsinki (Finland). (b) No supply contracts were signed in India. (c) No income can be said to have accrued on account of mere signing of contracts, as upheld by the Hon’ble Supreme Court in the case of Ishikawajima Harima Heavy Industries Co. Ltd. (288 ITR 408) (d) The appellant’s role was limited to supply of telecom equipment and it did not have any role in network planning activities undertaken in India. 6. Not pressed 7. Based on facts and circumstances of the case and in law, the ld. CIT (A) has erred in upholding the action of the learned assessing officer who has arbitrarily imputed Rs 50,000,00…

M/S. Nokia Corporation (Formerly Nokia Networks Oy), New Delhi vs. ACIT, New Delhi

In the result, appeals of the assessee on the grounds- a

ITA 1006/DEL/2010[2004-05]Status: DisposedITAT Delhi02 Sept 2019AY 2004-05

Bench: Sh. Bhavnesh Sainidr. B. R. R. Kumarita No. 1006/Del/2010 : Asstt. Year : 2004-05 Ita No. 1007/Del/2010 : Asstt. Year : 2005-06 Ita No. 1008/Del/2010 : Asstt. Year : 2006-07 Ita No. 5819/Del/2010 : Asstt. Year : 2007-08 Nokia Corporation Vs Asstt. Director Of Income Tax, Circle-2(1), International Taxation, (Formerly Nokia Networks Oy) New Delhi C/O Tarandeep Singh, F-99, Lajpat Nagar-Ii, New Delhi-110024 (Appellant) (Respondent) Pan No. Aabcn3748E Ita No. 1236/Del/2010 : Asstt. Year : 2004-05 Ita No. 1237/Del/2010 : Asstt. Year : 2005-06 Ita No. 1238/Del/2010 : Asstt. Year : 2006-07

For Appellant: Ms. Rashmi Chopra, AdvFor Respondent: Sh. G. K. Dhall, CIT DR

…ompany in Helsinki (Finland). (b) No supply contracts were signed in India. (c) No income can be said to have accrued on account of mere signing of contracts, as upheld by the Hon’ble Supreme Court in the case of Ishikawajima Harima Heavy Industries Co. Ltd. (288 ITR 408) (d) The appellant’s role was limited to supply of telecom equipment and it did not have any role in network planning activities undertaken in India. 6. Not pressed 7. Based on facts and circumstances of the case and in law, the ld. CIT (A) has erred in upholding the action of the learned assessing officer who has arbitrarily imputed Rs 50,000,00…

Deputy Commssioner of Income-Tax, Pune vs. Kumar Kondiba Shingare, Pune

In the result, all the five appeals of the Revenue dismissed

ITA 394/PUN/2015[2006-07]Status: DisposedITAT Pune30 Aug 2019AY 2006-07
For Appellant: Shri Kishor PhadkeFor Respondent: Shri N. Ashok Babu
Section 40Section 9Section 9(1)(vii)

…9(1)(vii)(b) of the Act are not applicable. For the proposition, the assessee relied on various binding judgements including the judgement of the Hon’ble Supreme Court in the case of Ishikawa JMA-Harima 5 Kumar Kondiba Shingare Heavy Industries Ltd. vs. DIT, 288 ITR 408 and many others also. Further, assessee argued before the CIT(A) that the services availed by the Taiwan vendor on a product for delivery in India, do not constitute Fee for Technical Services (FTS). Referring to the agreements between the assessee and the Taiwan vendor, the assessee submitted that the TATA Motors provided the specification of th…

Deputy Commssioner of Income-Tax, Pune vs. Kumar Kondiba Shingare, Pune

In the result, all the five appeals of the Revenue dismissed

ITA 393/PUN/2015[2005-06]Status: DisposedITAT Pune30 Aug 2019AY 2005-06
For Appellant: Shri Kishor PhadkeFor Respondent: Shri N. Ashok Babu
Section 40Section 9Section 9(1)(vii)

…9(1)(vii)(b) of the Act are not applicable. For the proposition, the assessee relied on various binding judgements including the judgement of the Hon’ble Supreme Court in the case of Ishikawa JMA-Harima 5 Kumar Kondiba Shingare Heavy Industries Ltd. vs. DIT, 288 ITR 408 and many others also. Further, assessee argued before the CIT(A) that the services availed by the Taiwan vendor on a product for delivery in India, do not constitute Fee for Technical Services (FTS). Referring to the agreements between the assessee and the Taiwan vendor, the assessee submitted that the TATA Motors provided the specification of th…

Deputy Commssioner of Income-Tax, Pune vs. Kumar Kondiba Shingare, Pune

In the result, all the five appeals of the Revenue dismissed

ITA 392/PUN/2015[2004-05]Status: DisposedITAT Pune30 Aug 2019AY 2004-05
For Appellant: Shri Kishor PhadkeFor Respondent: Shri N. Ashok Babu
Section 40Section 9Section 9(1)(vii)

…9(1)(vii)(b) of the Act are not applicable. For the proposition, the assessee relied on various binding judgements including the judgement of the Hon’ble Supreme Court in the case of Ishikawa JMA-Harima 5 Kumar Kondiba Shingare Heavy Industries Ltd. vs. DIT, 288 ITR 408 and many others also. Further, assessee argued before the CIT(A) that the services availed by the Taiwan vendor on a product for delivery in India, do not constitute Fee for Technical Services (FTS). Referring to the agreements between the assessee and the Taiwan vendor, the assessee submitted that the TATA Motors provided the specification of th…

Deputy Commssioner of Income-Tax, Pune vs. Kumar Kondiba Shingare, Pune

In the result, all the five appeals of the Revenue dismissed

ITA 391/PUN/2015[2003-04]Status: DisposedITAT Pune30 Aug 2019AY 2003-04
For Appellant: Shri Kishor PhadkeFor Respondent: Shri N. Ashok Babu
Section 40Section 9Section 9(1)(vii)

…9(1)(vii)(b) of the Act are not applicable. For the proposition, the assessee relied on various binding judgements including the judgement of the Hon’ble Supreme Court in the case of Ishikawa JMA-Harima 5 Kumar Kondiba Shingare Heavy Industries Ltd. vs. DIT, 288 ITR 408 and many others also. Further, assessee argued before the CIT(A) that the services availed by the Taiwan vendor on a product for delivery in India, do not constitute Fee for Technical Services (FTS). Referring to the agreements between the assessee and the Taiwan vendor, the assessee submitted that the TATA Motors provided the specification of th…

Deputy Commissioner of Income-Tax vs. Kumar Kondiba Shingare, Pune

In the result, all the five appeals of the Revenue dismissed

ITA 182/PUN/2015[2007-08]Status: DisposedITAT Pune30 Aug 2019AY 2007-08
For Appellant: Shri Kishor PhadkeFor Respondent: Shri N. Ashok Babu
Section 40Section 9Section 9(1)(vii)

…9(1)(vii)(b) of the Act are not applicable. For the proposition, the assessee relied on various binding judgements including the judgement of the Hon’ble Supreme Court in the case of Ishikawa JMA-Harima 5 Kumar Kondiba Shingare Heavy Industries Ltd. vs. DIT, 288 ITR 408 and many others also. Further, assessee argued before the CIT(A) that the services availed by the Taiwan vendor on a product for delivery in India, do not constitute Fee for Technical Services (FTS). Referring to the agreements between the assessee and the Taiwan vendor, the assessee submitted that the TATA Motors provided the specification of th…

Bimetal Bearings Limited, Chennai vs. DCIT, Chennai

In the result, the appeal filed by the assessee for the assessment year

ITA 671/CHNY/2015[2010-11]Status: DisposedITAT Chennai29 Aug 2019AY 2010-11

Bench: Shri Duvvuru Rl Reddy & Shri S. Jayaramanआयकर अपील सं./I.T.A. Nos. 668, 669, 670 & 671/Chny/2015 िनधा"रण वष"/Assessment Years:2007-08 To 2010-11 M/S. Bimetal Bearings Limited, The Deputy Commissioner Of 18, Race Course Road, Vs. Income Tax, Large Taxpayer Unit, Coimbatore 641 018. 1775, Jawaharlal Nehru Inner Ring Road, Anna Nagar Western Extension, [Pan:Aaacb2036Q] Chennai 600 101. (अपीलाथ" /Appellant) (""थ"/Respondent) अपीलाथ" की ओर से / Appellant By : Shri R. Vijayaraghavan, Advocate ""थ" की ओर से/Respondent By : Shri Ar.V. Sreenivasan, Jcit सुनवाई की तारीख/ Date Of Hearing : 02.07.2019 घोषणा की तारीख /Date Of Pronouncement : 29.08.2019 आदेश /O R D E R Per Duvvuru Rl Reddy: These Four Appeals Filed By The Same Assessee Are Directed Against Different Orders Of The Ld. Commissioner Of Income Tax (Appeals) 17, Chennai All Dated 30.01.2015 Relevant To The Assessment Years 2007-08, 2008-09, 2009-10 & 2010-11. Since Common Issues Have Been Raised In These Appeals, Heard Together & Are Being Disposed Of By This Common Order For The Sake Of Brevity.

For Appellant: Shri R. Vijayaraghavan, AdvocateFor Respondent: Shri AR.V. Sreenivasan, JCIT
Section 14ASection 40

…rnatively, it was submitted that even if the commission is treated as fees for technical services, it is not taxable if rendered outside India in view of the decision of the Hon’ble Supreme Court in the case of Ishikawajima-Harima Heavy Industries Ltd. v. DIT 288 ITR 408. We find force in the argument of the ld. Counsel. With regard to the issue as to whether the TDS has to be deducted or not on the commission payments made to non-resident entities for the purpose procurement of export orders, we find that the issue is squarely covered in favour of the assessee by the decision of the Hon’ble Jurisdictional High C…

Bimetal Bearings Limited, Chennai vs. DCIT, Chennai

In the result, the appeal filed by the assessee for the assessment year

ITA 670/CHNY/2015[2009-10]Status: DisposedITAT Chennai29 Aug 2019AY 2009-10

Bench: Shri Duvvuru Rl Reddy & Shri S. Jayaramanआयकर अपील सं./I.T.A. Nos. 668, 669, 670 & 671/Chny/2015 िनधा"रण वष"/Assessment Years:2007-08 To 2010-11 M/S. Bimetal Bearings Limited, The Deputy Commissioner Of 18, Race Course Road, Vs. Income Tax, Large Taxpayer Unit, Coimbatore 641 018. 1775, Jawaharlal Nehru Inner Ring Road, Anna Nagar Western Extension, [Pan:Aaacb2036Q] Chennai 600 101. (अपीलाथ" /Appellant) (""थ"/Respondent) अपीलाथ" की ओर से / Appellant By : Shri R. Vijayaraghavan, Advocate ""थ" की ओर से/Respondent By : Shri Ar.V. Sreenivasan, Jcit सुनवाई की तारीख/ Date Of Hearing : 02.07.2019 घोषणा की तारीख /Date Of Pronouncement : 29.08.2019 आदेश /O R D E R Per Duvvuru Rl Reddy: These Four Appeals Filed By The Same Assessee Are Directed Against Different Orders Of The Ld. Commissioner Of Income Tax (Appeals) 17, Chennai All Dated 30.01.2015 Relevant To The Assessment Years 2007-08, 2008-09, 2009-10 & 2010-11. Since Common Issues Have Been Raised In These Appeals, Heard Together & Are Being Disposed Of By This Common Order For The Sake Of Brevity.

For Appellant: Shri R. Vijayaraghavan, AdvocateFor Respondent: Shri AR.V. Sreenivasan, JCIT
Section 14ASection 40

…rnatively, it was submitted that even if the commission is treated as fees for technical services, it is not taxable if rendered outside India in view of the decision of the Hon’ble Supreme Court in the case of Ishikawajima-Harima Heavy Industries Ltd. v. DIT 288 ITR 408. We find force in the argument of the ld. Counsel. With regard to the issue as to whether the TDS has to be deducted or not on the commission payments made to non-resident entities for the purpose procurement of export orders, we find that the issue is squarely covered in favour of the assessee by the decision of the Hon’ble Jurisdictional High C…

Bimetal Bearings Limited, Chennai vs. DCIT, Chennai

In the result, the appeal filed by the assessee for the assessment year

ITA 669/CHNY/2015[2008-09]Status: DisposedITAT Chennai29 Aug 2019AY 2008-09

Bench: Shri Duvvuru Rl Reddy & Shri S. Jayaramanआयकर अपील सं./I.T.A. Nos. 668, 669, 670 & 671/Chny/2015 िनधा"रण वष"/Assessment Years:2007-08 To 2010-11 M/S. Bimetal Bearings Limited, The Deputy Commissioner Of 18, Race Course Road, Vs. Income Tax, Large Taxpayer Unit, Coimbatore 641 018. 1775, Jawaharlal Nehru Inner Ring Road, Anna Nagar Western Extension, [Pan:Aaacb2036Q] Chennai 600 101. (अपीलाथ" /Appellant) (""थ"/Respondent) अपीलाथ" की ओर से / Appellant By : Shri R. Vijayaraghavan, Advocate ""थ" की ओर से/Respondent By : Shri Ar.V. Sreenivasan, Jcit सुनवाई की तारीख/ Date Of Hearing : 02.07.2019 घोषणा की तारीख /Date Of Pronouncement : 29.08.2019 आदेश /O R D E R Per Duvvuru Rl Reddy: These Four Appeals Filed By The Same Assessee Are Directed Against Different Orders Of The Ld. Commissioner Of Income Tax (Appeals) 17, Chennai All Dated 30.01.2015 Relevant To The Assessment Years 2007-08, 2008-09, 2009-10 & 2010-11. Since Common Issues Have Been Raised In These Appeals, Heard Together & Are Being Disposed Of By This Common Order For The Sake Of Brevity.

For Appellant: Shri R. Vijayaraghavan, AdvocateFor Respondent: Shri AR.V. Sreenivasan, JCIT
Section 14ASection 40

…rnatively, it was submitted that even if the commission is treated as fees for technical services, it is not taxable if rendered outside India in view of the decision of the Hon’ble Supreme Court in the case of Ishikawajima-Harima Heavy Industries Ltd. v. DIT 288 ITR 408. We find force in the argument of the ld. Counsel. With regard to the issue as to whether the TDS has to be deducted or not on the commission payments made to non-resident entities for the purpose procurement of export orders, we find that the issue is squarely covered in favour of the assessee by the decision of the Hon’ble Jurisdictional High C…

Bimetal Bearings Limited, Chennai vs. DCIT, Chennai

In the result, the appeal filed by the assessee for the assessment year

ITA 668/CHNY/2015[2007-08]Status: DisposedITAT Chennai29 Aug 2019AY 2007-08

Bench: Shri Duvvuru Rl Reddy & Shri S. Jayaramanआयकर अपील सं./I.T.A. Nos. 668, 669, 670 & 671/Chny/2015 िनधा"रण वष"/Assessment Years:2007-08 To 2010-11 M/S. Bimetal Bearings Limited, The Deputy Commissioner Of 18, Race Course Road, Vs. Income Tax, Large Taxpayer Unit, Coimbatore 641 018. 1775, Jawaharlal Nehru Inner Ring Road, Anna Nagar Western Extension, [Pan:Aaacb2036Q] Chennai 600 101. (अपीलाथ" /Appellant) (""थ"/Respondent) अपीलाथ" की ओर से / Appellant By : Shri R. Vijayaraghavan, Advocate ""थ" की ओर से/Respondent By : Shri Ar.V. Sreenivasan, Jcit सुनवाई की तारीख/ Date Of Hearing : 02.07.2019 घोषणा की तारीख /Date Of Pronouncement : 29.08.2019 आदेश /O R D E R Per Duvvuru Rl Reddy: These Four Appeals Filed By The Same Assessee Are Directed Against Different Orders Of The Ld. Commissioner Of Income Tax (Appeals) 17, Chennai All Dated 30.01.2015 Relevant To The Assessment Years 2007-08, 2008-09, 2009-10 & 2010-11. Since Common Issues Have Been Raised In These Appeals, Heard Together & Are Being Disposed Of By This Common Order For The Sake Of Brevity.

For Appellant: Shri R. Vijayaraghavan, AdvocateFor Respondent: Shri AR.V. Sreenivasan, JCIT
Section 14ASection 40

…rnatively, it was submitted that even if the commission is treated as fees for technical services, it is not taxable if rendered outside India in view of the decision of the Hon’ble Supreme Court in the case of Ishikawajima-Harima Heavy Industries Ltd. v. DIT 288 ITR 408. We find force in the argument of the ld. Counsel. With regard to the issue as to whether the TDS has to be deducted or not on the commission payments made to non-resident entities for the purpose procurement of export orders, we find that the issue is squarely covered in favour of the assessee by the decision of the Hon’ble Jurisdictional High C…

M/S. Hella India Lighting Ltd., New Delhi vs. DCIT, New Delhi

In the result, the appeal filed by the assessee is allowed for statistical purposes

ITA 1109/DEL/2015[2010-11]Status: DisposedITAT Delhi29 Jul 2019AY 2010-11

Bench: Shri R.K. Panda & Shri Sudhanshu Srivastavaassessment Year: 2010-11 Hella India Lighting Ltd., Vs Dcit, B-13, Badarpur Extension, Circle-11(1), New Delhi. New Delhi. Pan: Aaacj0101G (Appellant) (Respondent) Assessee By : Dr. Rakesh Gupta, Advocate & Shri Somil Aggarwal, Advocate Revenue By : Shri Sanjay I Bara, Cit, Dr Date Of Hearing : 16.05.2019 Date Of Pronouncement : 29.07.2019 Order Per R.K. Panda, Am: This Appeal Filed By The Assessee Is Directed Against The Order Dated 23Rd December, 2014 Passed By The Dcit, Circle 11(1), New Delhi U/S 143(3) Read With Section 144C Of The It Act, 1961 For Assessment Year 2010-11. 2. Facts Of The Case, In Brief, Are That The Assessee Is A Company Engaged In The Business Of Manufacturing Of Automobile Components Including Head Lamps, Tail Lamps, Horns Switches, Bulbs, Sundry Lamps, Wiper Arms & Wiper Blades. It Filed Its Return Of Income On 5Th October, 2010 Declaring A Loss Of Rs.1,46,71,148/-. Since The Assessee Has Undertaken International Transactions With Its Ae, The Assessing Officer

For Appellant: Dr. Rakesh Gupta, Advocate &For Respondent: Shri Sanjay I Bara, CIT, DR
Section 143(3)Section 144CSection 40a

…that the payment of royalty charges and networking charges is not income chargeable to tax in India at least when the return was filed. Referring to the decision of the Hon'ble Supreme Court in the case of Ishikawajima Harima Heavy Industries Ltd. vs. DIT, 288 ITR 408, he submitted that the Hon'ble Supreme Court in the said decision has held that the fees for services to a non-resident is not taxable in India merely because non-resident has permanent establishment in India. It has been held that if services are utilized in India and they are rendered in India then only the provisions of section 9(1)(vii) ar…

Kingfisher Airlines Ltd, Bangalore vs. DDIT, Bangalore

In the result, the appeals by the revenue are dismissed while the appeals by the Assessee are allowed

ITA 87/BANG/2011[2008-09]Status: DisposedITAT Bangalore23 Jul 2019AY 2008-09

Bench: Shri N.V. Vasudevan & Shri Jason P. Boaz

For Appellant: NoneFor Respondent: Shri Harinder Kumar, CIT(DR), ITAT, Bengaluru
Section 133ASection 195Section 201(1)Section 9(1)(vii)

…en India and the place where the services were rendered. The Assessee pointed out that in view of the decision of Hon'ble Supreme Court in the case of Ishikawajima Harima Heavy Industries Ltd. v. ITA Nos. 86 & 87 and 143& 144/Bang/2011 . Page 5 of 35 DIT in 288 ITR 408(SC), there should be territorial nexus because an income can be considered as taxable in India under the Act. The Supreme Court has laid down twin conditions for an amount to be taxable in India. Unless the two conditions are satisfied neither Section 9(1)(vii) nor Article 14 of India-Germany DTAA can be applied. The relevant portion of the decis…

Kingfisher Airlines Ltd, Bangalore vs. DDIT, Bangalore

In the result, the appeals by the revenue are dismissed while the appeals by the Assessee are allowed

ITA 86/BANG/2011[2007-08]Status: DisposedITAT Bangalore23 Jul 2019AY 2007-08

Bench: Shri N.V. Vasudevan & Shri Jason P. Boaz

For Appellant: NoneFor Respondent: Shri Harinder Kumar, CIT(DR), ITAT, Bengaluru
Section 133ASection 195Section 201(1)Section 9(1)(vii)

…en India and the place where the services were rendered. The Assessee pointed out that in view of the decision of Hon'ble Supreme Court in the case of Ishikawajima Harima Heavy Industries Ltd. v. ITA Nos. 86 & 87 and 143& 144/Bang/2011 . Page 5 of 35 DIT in 288 ITR 408(SC), there should be territorial nexus because an income can be considered as taxable in India under the Act. The Supreme Court has laid down twin conditions for an amount to be taxable in India. Unless the two conditions are satisfied neither Section 9(1)(vii) nor Article 14 of India-Germany DTAA can be applied. The relevant portion of the decis…

Dy.Director of Income - Tax, Bangalore vs. M/S. King Fisher Airlines Ltd, Bangalore

In the result, the appeals by the revenue are dismissed while the appeals by the Assessee are allowed

ITA 144/BANG/2011[2008-09]Status: DisposedITAT Bangalore23 Jul 2019AY 2008-09

Bench: Shri N.V. Vasudevan & Shri Jason P. Boaz

For Appellant: NoneFor Respondent: Shri Harinder Kumar, CIT(DR), ITAT, Bengaluru
Section 133ASection 195Section 201(1)Section 9(1)(vii)

…en India and the place where the services were rendered. The Assessee pointed out that in view of the decision of Hon'ble Supreme Court in the case of Ishikawajima Harima Heavy Industries Ltd. v. ITA Nos. 86 & 87 and 143& 144/Bang/2011 . Page 5 of 35 DIT in 288 ITR 408(SC), there should be territorial nexus because an income can be considered as taxable in India under the Act. The Supreme Court has laid down twin conditions for an amount to be taxable in India. Unless the two conditions are satisfied neither Section 9(1)(vii) nor Article 14 of India-Germany DTAA can be applied. The relevant portion of the decis…

Dy.Director of Income - Tax, Bangalore vs. M/S. King Fisher Airlines Ltd, Bangalore

In the result, the appeals by the revenue are dismissed while the appeals by the Assessee are allowed

ITA 143/BANG/2011[2007-08]Status: DisposedITAT Bangalore23 Jul 2019AY 2007-08

Bench: Shri N.V. Vasudevan & Shri Jason P. Boaz

For Appellant: NoneFor Respondent: Shri Harinder Kumar, CIT(DR), ITAT, Bengaluru
Section 133ASection 195Section 201(1)Section 9(1)(vii)

…en India and the place where the services were rendered. The Assessee pointed out that in view of the decision of Hon'ble Supreme Court in the case of Ishikawajima Harima Heavy Industries Ltd. v. ITA Nos. 86 & 87 and 143& 144/Bang/2011 . Page 5 of 35 DIT in 288 ITR 408(SC), there should be territorial nexus because an income can be considered as taxable in India under the Act. The Supreme Court has laid down twin conditions for an amount to be taxable in India. Unless the two conditions are satisfied neither Section 9(1)(vii) nor Article 14 of India-Germany DTAA can be applied. The relevant portion of the decis…

M/S Sumitomo Corporation, New Delhi vs. DCIT (International Taxation), New Delhi

Appeal are allowed

ITA 6385/DEL/2015[2012-13]Status: DisposedITAT Delhi01 Jul 2019AY 2012-13

Bench: Shri G. D. Agrawal & Ms Suchitra Kamble

Section 234B

…ssessee has PE in India in the form of long-standing presence in India in relation to the supplies being made and services being rendered to MUL for the past several years. The reliance of the decision in case of M/s Ishikawajima Harima Heavy Industries Ltd. (288 ITR 408 (SC)) was misplaced by the CIT(A) as the facts of the said case are distinguishable to the present assessee’s case. 7. The Ld. AR submitted that during the year, the assessee was engaged in supply of equipment to MUL outside India. The supply of equipment was not offered to tax on the ground that the same was offshore supply, where the risks and…

M/S Sumitomo Corporation, New Delhi vs. DCIT (International Taxation), New Delhi

Appeal are allowed

ITA 6384/DEL/2015[2011-12]Status: DisposedITAT Delhi01 Jul 2019AY 2011-12

Bench: Shri G. D. Agrawal & Ms Suchitra Kamble

Section 234B

…ssessee has PE in India in the form of long-standing presence in India in relation to the supplies being made and services being rendered to MUL for the past several years. The reliance of the decision in case of M/s Ishikawajima Harima Heavy Industries Ltd. (288 ITR 408 (SC)) was misplaced by the CIT(A) as the facts of the said case are distinguishable to the present assessee’s case. 7. The Ld. AR submitted that during the year, the assessee was engaged in supply of equipment to MUL outside India. The supply of equipment was not offered to tax on the ground that the same was offshore supply, where the risks and…

Sumitomo Corporation, New Delhi vs. DCIT, New Delhi

Appeal are allowed

ITA 1114/DEL/2015[2010-11]Status: DisposedITAT Delhi01 Jul 2019AY 2010-11

Bench: Shri G. D. Agrawal & Ms Suchitra Kamble

Section 234B

…ssessee has PE in India in the form of long-standing presence in India in relation to the supplies being made and services being rendered to MUL for the past several years. The reliance of the decision in case of M/s Ishikawajima Harima Heavy Industries Ltd. (288 ITR 408 (SC)) was misplaced by the CIT(A) as the facts of the said case are distinguishable to the present assessee’s case. 7. The Ld. AR submitted that during the year, the assessee was engaged in supply of equipment to MUL outside India. The supply of equipment was not offered to tax on the ground that the same was offshore supply, where the risks and…