Verizon Communications Singapore Pvt. Ltd. v. ITO

45 SOT 263Income Tax Appellate Tribunal2011#5533 most cited

What is Verizon Communications Singapore Pvt. Ltd. v. ITO authority for?

A payment for leased lines obtained on hire/lease basis by an Indian company from a non-resident can be considered as payment for 'use of process' and thus royalty. The decision in Verizon Communications Singapore Pte. Ltd. v. ITO is distinguishable where the facts involved leased lines being taken on hire.

21

judgments rely on this decision, according to BharatTax’s citation analysis of 366,339 Indian tax judgments — from 2016 to 2024.

Also referred to as

Verizon Communications Singapore Pvt. Ltd. v. ITO · 45 SOT 263 · leased lines · hire basis · royalty · use of process · section 9(1)(vi) · DTAA

Issues it is cited on

section 9(l)(vii)section 206asection 206aause of equipmentsection 9(l)section 44bbsection 9(l)(vi)section 44bsection 195(2)section 91section 194hsection 90(2)

Judgments citing Verizon Communications Singapore Pvt. Ltd. v. ITO

M/S. Idea Cellular Limited, Indore vs. The DCIT (TDS), Indore

Appeals are allowed

ITA 111/IND/2015[2013-14 (Quarter 4)]Status: DisposedITAT Indore01 Aug 2024

Bench: Shri Vijay Pal Rao & Shri B.M. Biyani

Section 194Section 194HSection 194JSection 201(1)

…sing the network of the FTO, the payment made is not for "use of process", hence, not in the nature of royalty. d) The AO's reliance on the judgment of the Chennai Bench of the Tribunal in the case of Verizon Communications Singapore Pte. Ltd. vs. ITO (2011) 45 SOT 263 (Chennai) is misplaced, as in that case the Indian Company obtained 'Leased Lines' on hire/lease basis under the contract. The facts are different. e) Explanation 5 & 6 incorporated in Section 9(1)(vi) by the Finance Act, 2012 do not affect the definition of royalty, as per DTAA. The Indo UK Tax Treaty, employs the word "use or right to use" in c…

M/S. Idea Cellular Limited, Indore vs. The DCIT (TDS), Indore

Appeals are allowed

ITA 110/IND/2015[2013-14 (for first three quarter)]Status: DisposedITAT Indore01 Aug 2024

Bench: Shri Vijay Pal Rao & Shri B.M. Biyani

Section 194Section 194HSection 194JSection 201(1)

…sing the network of the FTO, the payment made is not for "use of process", hence, not in the nature of royalty. d) The AO's reliance on the judgment of the Chennai Bench of the Tribunal in the case of Verizon Communications Singapore Pte. Ltd. vs. ITO (2011) 45 SOT 263 (Chennai) is misplaced, as in that case the Indian Company obtained 'Leased Lines' on hire/lease basis under the contract. The facts are different. e) Explanation 5 & 6 incorporated in Section 9(1)(vi) by the Finance Act, 2012 do not affect the definition of royalty, as per DTAA. The Indo UK Tax Treaty, employs the word "use or right to use" in c…

M/S. Idea Cellular Limited, Indore vs. The DCIT (TDS), Indore

Appeals are allowed

ITA 109/IND/2015[2012-13]Status: DisposedITAT Indore01 Aug 2024AY 2012-13

Bench: Shri Vijay Pal Rao & Shri B.M. Biyani

Section 194Section 194HSection 194JSection 201(1)

…sing the network of the FTO, the payment made is not for "use of process", hence, not in the nature of royalty. d) The AO's reliance on the judgment of the Chennai Bench of the Tribunal in the case of Verizon Communications Singapore Pte. Ltd. vs. ITO (2011) 45 SOT 263 (Chennai) is misplaced, as in that case the Indian Company obtained 'Leased Lines' on hire/lease basis under the contract. The facts are different. e) Explanation 5 & 6 incorporated in Section 9(1)(vi) by the Finance Act, 2012 do not affect the definition of royalty, as per DTAA. The Indo UK Tax Treaty, employs the word "use or right to use" in c…

Idea Cellular Limited, Indore vs. DCIT TDS, Indore

ITA 265/IND/2018[2010-11]Status: DisposedITAT Indore23 Apr 2024AY 2010-11

Bench: Shri Vijay Pal Rao & Shri B.M. Biyanim/S Vodafone Idea Ltd. Cit (Tds), बनाम/ (Formerly M/S Idea Bhopal Vs. Cellular Ltd.), 139-140, Electronics Complex, Pardeshipura, Indore (Assessee/Appellant) (Revenue/Respondent) M/S Vodafone Idea Ltd. Dcit/Jcit (Tds), बनाम/ (Formerly M/S Idea Indore Vs. Cellular Ltd.), 139-140, Electronics Complex, Pardeshipura, Indore (Assessee/Appellant) (Revenue/Respondent)

Section 194HSection 194JSection 201Section 201(1)Section 250Section 254(2)Section 263

…आयकर अपीलीय अिधकरण, इंदौर "ायपीठ, इंदौर IN THE INCOME TAX APPELLATE TRIBUNAL INDORE BENCH, INDORE BEFORE SHRI VIJAY PAL RAO, JUDICIAL MEMBER AND SHRI B.M. BIYANI, ACCOUNTANT MEMBER M/s Vodafone Idea Ltd. CIT (TDS), बनाम/ (Formerly M/s Idea Bhopal Vs. Cellular Ltd.), 139-140, Electronics Complex, Pardeshipura, Indore (Assessee/Appellant) (Revenue/Respondent) M/s Vodafone Idea Ltd. DCIT/JCIT (TDS), बनाम/ (Formerly M/s Idea Indore Vs. Cellular Ltd.), 139-140, Electronics Complex, Pardeshipura, Indore (Assessee/Appellant) (Revenue/Respondent) PAN: AAACB2100P / TAN: BPLI00953B Assessee by Shri Sumit Nema, Sr. Advoca…

M/S. Idea Cellular Limited, Indore vs. The CIT (TDS), Bhopal

ITA 415/IND/2014[2010-11]Status: DisposedITAT Indore23 Apr 2024AY 2010-11

Bench: Shri Vijay Pal Rao & Shri B.M. Biyanim/S Vodafone Idea Ltd. Cit (Tds), बनाम/ (Formerly M/S Idea Bhopal Vs. Cellular Ltd.), 139-140, Electronics Complex, Pardeshipura, Indore (Assessee/Appellant) (Revenue/Respondent) M/S Vodafone Idea Ltd. Dcit/Jcit (Tds), बनाम/ (Formerly M/S Idea Indore Vs. Cellular Ltd.), 139-140, Electronics Complex, Pardeshipura, Indore (Assessee/Appellant) (Revenue/Respondent)

Section 194HSection 194JSection 201Section 201(1)Section 250Section 254(2)Section 263

…आयकर अपीलीय अिधकरण, इंदौर "ायपीठ, इंदौर IN THE INCOME TAX APPELLATE TRIBUNAL INDORE BENCH, INDORE BEFORE SHRI VIJAY PAL RAO, JUDICIAL MEMBER AND SHRI B.M. BIYANI, ACCOUNTANT MEMBER M/s Vodafone Idea Ltd. CIT (TDS), बनाम/ (Formerly M/s Idea Bhopal Vs. Cellular Ltd.), 139-140, Electronics Complex, Pardeshipura, Indore (Assessee/Appellant) (Revenue/Respondent) M/s Vodafone Idea Ltd. DCIT/JCIT (TDS), बनाम/ (Formerly M/s Idea Indore Vs. Cellular Ltd.), 139-140, Electronics Complex, Pardeshipura, Indore (Assessee/Appellant) (Revenue/Respondent) PAN: AAACB2100P / TAN: BPLI00953B Assessee by Shri Sumit Nema, Sr. Advoca…

DCIT (International Taxation), New Delhi vs. M/S. Telstra Singapore Pte Ltd., New Delhi

In the result, all appeals filed by the assessee are allowed and appeal

ITA 6733/DEL/2015[2012-13]Status: DisposedITAT Delhi30 Sept 2020AY 2012-13

Bench: Ms. Sushma Chowla, Vp & Shri N.K.Billaiya, Am [Through Video Conferencing]

For Appellant: Sh. S.K.Aggarwal, CA &For Respondent: Sh. Satpal Gulati, CIT DR
Section 143(3)Section 144(3)Section 144CSection 9

…आयकर अपील"य अ"धकरण, "द"ल" "यायपीठ “डी”, नई "द"ल" म" IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH ‘D’, NEW DELHI सु"ी सुषमा चावला, उपा"य" एवं "ी एन. के. "ब"लैया, लेखा सद"य के सम" BEFORE MS. SUSHMA CHOWLA, VP & SHRI N.K.BILLAIYA, AM [THROUGH VIDEO CONFERENCING] आयकर अपील सं. / ITA Nos.1548/Del/2015 & 286/Del/2016 "नधा"रण वष" /Assessment Years 2011-12 & 2012-13 Telstra Singapore Pte.Ltd., Unit No.518/519/520, 5th Floor, Tower-B, DLF Towers, Jasola, New Delhi-110044. ..........अपीलाथ"/Appellant PAN-AADCT5366N vs The DCIT (International Taxation), …………. ""यथ" / Respondent Circle-3(1)(2), New Delhi. आयकर अपील सं…

M/S Telstra Singapore Pte. Ltd., Singapore vs. DCIT, New Delhi

In the result, all appeals filed by the assessee are allowed and appeal

ITA 286/DEL/2016[2012-13]Status: DisposedITAT Delhi30 Sept 2020AY 2012-13

Bench: Ms. Sushma Chowla, Vp & Shri N.K.Billaiya, Am [Through Video Conferencing]

For Appellant: Sh. S.K.Aggarwal, CA &For Respondent: Sh. Satpal Gulati, CIT DR
Section 143(3)Section 144(3)Section 144CSection 9

…आयकर अपील"य अ"धकरण, "द"ल" "यायपीठ “डी”, नई "द"ल" म" IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH ‘D’, NEW DELHI सु"ी सुषमा चावला, उपा"य" एवं "ी एन. के. "ब"लैया, लेखा सद"य के सम" BEFORE MS. SUSHMA CHOWLA, VP & SHRI N.K.BILLAIYA, AM [THROUGH VIDEO CONFERENCING] आयकर अपील सं. / ITA Nos.1548/Del/2015 & 286/Del/2016 "नधा"रण वष" /Assessment Years 2011-12 & 2012-13 Telstra Singapore Pte.Ltd., Unit No.518/519/520, 5th Floor, Tower-B, DLF Towers, Jasola, New Delhi-110044. ..........अपीलाथ"/Appellant PAN-AADCT5366N vs The DCIT (International Taxation), …………. ""यथ" / Respondent Circle-3(1)(2), New Delhi. आयकर अपील सं…

Telstra Singapore Pte. Ltd, New Delhi vs. Deputy Commissioner of Income-Tax, New Delhi

In the result, all appeals filed by the assessee are allowed and appeal

ITA 1548/DEL/2015[2011-12]Status: DisposedITAT Delhi30 Sept 2020AY 2011-12

Bench: Ms. Sushma Chowla, Vp & Shri N.K.Billaiya, Am [Through Video Conferencing]

For Appellant: Sh. S.K.Aggarwal, CA &For Respondent: Sh. Satpal Gulati, CIT DR
Section 143(3)Section 144(3)Section 144CSection 9

…आयकर अपील"य अ"धकरण, "द"ल" "यायपीठ “डी”, नई "द"ल" म" IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH ‘D’, NEW DELHI सु"ी सुषमा चावला, उपा"य" एवं "ी एन. के. "ब"लैया, लेखा सद"य के सम" BEFORE MS. SUSHMA CHOWLA, VP & SHRI N.K.BILLAIYA, AM [THROUGH VIDEO CONFERENCING] आयकर अपील सं. / ITA Nos.1548/Del/2015 & 286/Del/2016 "नधा"रण वष" /Assessment Years 2011-12 & 2012-13 Telstra Singapore Pte.Ltd., Unit No.518/519/520, 5th Floor, Tower-B, DLF Towers, Jasola, New Delhi-110044. ..........अपीलाथ"/Appellant PAN-AADCT5366N vs The DCIT (International Taxation), …………. ""यथ" / Respondent Circle-3(1)(2), New Delhi. आयकर अपील सं…

Telstra Singapore Pte. Ltd, Singapore vs. DCIT (International Taxation), New Delhi

In the result, all appeals filed by the assessee are allowed and appeal

ITA 3020/DEL/2017[2014-15]Status: DisposedITAT Delhi30 Sept 2020AY 2014-15

Bench: Ms. Sushma Chowla, Vp & Shri N.K.Billaiya, Am [Through Video Conferencing]

For Appellant: Sh. S.K.Aggarwal, CA &For Respondent: Sh. Satpal Gulati, CIT DR
Section 143(3)Section 144(3)Section 144CSection 9

…आयकर अपील"य अ"धकरण, "द"ल" "यायपीठ “डी”, नई "द"ल" म" IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH ‘D’, NEW DELHI सु"ी सुषमा चावला, उपा"य" एवं "ी एन. के. "ब"लैया, लेखा सद"य के सम" BEFORE MS. SUSHMA CHOWLA, VP & SHRI N.K.BILLAIYA, AM [THROUGH VIDEO CONFERENCING] आयकर अपील सं. / ITA Nos.1548/Del/2015 & 286/Del/2016 "नधा"रण वष" /Assessment Years 2011-12 & 2012-13 Telstra Singapore Pte.Ltd., Unit No.518/519/520, 5th Floor, Tower-B, DLF Towers, Jasola, New Delhi-110044. ..........अपीलाथ"/Appellant PAN-AADCT5366N vs The DCIT (International Taxation), …………. ""यथ" / Respondent Circle-3(1)(2), New Delhi. आयकर अपील सं…

ACIT, New Delhi vs. M/S. Geo Connect Ltd., New Delhi

In the result, appeals filed by the assessee in ITA Nos

ITA 5851/DEL/2011[2002-03]Status: DisposedITAT Delhi17 Jan 2017AY 2002-03

Bench: Sh. H.S. Sidhu & Sh. O.P. Kant

Section 143(2)Section 143(3)Section 195Section 271(1)(c)Section 9(1)(vii)

…it cannot be said that payments made by the appellant are for 'use of process' and hence in nature of royalty. The appellant has further contended that reliance placed by the AO on decision in case of Verizon Communications Singapore Pvt. Ltd. v. ITO: [2011] 45 SOT 263(Chennai) is misplaced. I have carefully gone through facts of the case law. In that case, the Indian payer company had obtained 'leased lines' on hire basis under a contract from non-resident Verizon Communication. This is a ITA Nos. 3593 TO 3596/Del/2012 [Bharti Airtel Ltd. vs. ITO(TDS)] & ITA Nos. 4076 TO 4079/Del/2012 [ITO(TDS) vs. Bharti Airte…

M/S Geo Connect Ltd., New Delhi vs. DCIT, New Delhi

In the result, appeals filed by the assessee in ITA Nos

ITA 127/DEL/2011[2003-04]Status: DisposedITAT Delhi17 Jan 2017AY 2003-04

Bench: Sh. H.S. Sidhu & Sh. O.P. Kant

Section 143(2)Section 143(3)Section 195Section 271(1)(c)Section 9(1)(vii)

…it cannot be said that payments made by the appellant are for 'use of process' and hence in nature of royalty. The appellant has further contended that reliance placed by the AO on decision in case of Verizon Communications Singapore Pvt. Ltd. v. ITO: [2011] 45 SOT 263(Chennai) is misplaced. I have carefully gone through facts of the case law. In that case, the Indian payer company had obtained 'leased lines' on hire basis under a contract from non-resident Verizon Communication. This is a ITA Nos. 3593 TO 3596/Del/2012 [Bharti Airtel Ltd. vs. ITO(TDS)] & ITA Nos. 4076 TO 4079/Del/2012 [ITO(TDS) vs. Bharti Airte…

DCIT Circle-12 (1) vs. Geo Connect Ltd

In the result, appeals filed by the assessee in ITA Nos

ITA 2088/DEL/2008[2002-2003]Status: DisposedITAT Delhi17 Jan 2017AY 2002-2003

Bench: Sh. H.S. Sidhu & Sh. O.P. Kant

Section 143(2)Section 143(3)Section 195Section 271(1)(c)Section 9(1)(vii)

…it cannot be said that payments made by the appellant are for 'use of process' and hence in nature of royalty. The appellant has further contended that reliance placed by the AO on decision in case of Verizon Communications Singapore Pvt. Ltd. v. ITO: [2011] 45 SOT 263(Chennai) is misplaced. I have carefully gone through facts of the case law. In that case, the Indian payer company had obtained 'leased lines' on hire basis under a contract from non-resident Verizon Communication. This is a ITA Nos. 3593 TO 3596/Del/2012 [Bharti Airtel Ltd. vs. ITO(TDS)] & ITA Nos. 4076 TO 4079/Del/2012 [ITO(TDS) vs. Bharti Airte…

Geo Convest Ltd vs. DCIT Circle-12 (1)

In the result, appeals filed by the assessee in ITA Nos

ITA 1927/DEL/2008[2002-2003]Status: DisposedITAT Delhi17 Jan 2017AY 2002-2003

Bench: Sh. H.S. Sidhu & Sh. O.P. Kant

Section 143(2)Section 143(3)Section 195Section 271(1)(c)Section 9(1)(vii)

…it cannot be said that payments made by the appellant are for 'use of process' and hence in nature of royalty. The appellant has further contended that reliance placed by the AO on decision in case of Verizon Communications Singapore Pvt. Ltd. v. ITO: [2011] 45 SOT 263(Chennai) is misplaced. I have carefully gone through facts of the case law. In that case, the Indian payer company had obtained 'leased lines' on hire basis under a contract from non-resident Verizon Communication. This is a ITA Nos. 3593 TO 3596/Del/2012 [Bharti Airtel Ltd. vs. ITO(TDS)] & ITA Nos. 4076 TO 4079/Del/2012 [ITO(TDS) vs. Bharti Airte…

Asst DIT (It) 2(2), Mumbai vs. Wns Global Services (Uk) Ltd, Mumbai

Appeal is partly allowed

ITA 1406/MUM/2014[2010-11]Status: DisposedITAT Mumbai18 Nov 2016AY 2010-11

Bench: Shri Amit Shukla () & Shri Ashwani Taneja ()

Section 115ASection 144C(3)Section 234B

…on of the assessee on the ground that the Tribunal while passing the orders in assessee’s own case did not consider various 8 WNS other judgments including the judgment of Chennai Bench of the Tribunal in the case of Verizon Communications Singapore Pte Ltd 45 SOT 263 (Chen) and by relying upon the said judgment, Ld.CIT(A) rejected the submissions of the assessee by observing as under: “3.9 I have carefully considered the submissions of the Assessee and the contentions laid down by the AO in the assessment order. The Assessee has received payment from WNS India towards international telecom connectivity facilit…

Wns Global Services (Uk) Ltd., Mumbai vs. ADIT (It) 2(2), Mumbai

Appeal is partly allowed

ITA 6411/MUM/2012[2009-10]Status: DisposedITAT Mumbai18 Nov 2016AY 2009-10

Bench: Shri Amit Shukla () & Shri Ashwani Taneja ()

Section 115ASection 144C(3)Section 234B

…on of the assessee on the ground that the Tribunal while passing the orders in assessee’s own case did not consider various 8 WNS other judgments including the judgment of Chennai Bench of the Tribunal in the case of Verizon Communications Singapore Pte Ltd 45 SOT 263 (Chen) and by relying upon the said judgment, Ld.CIT(A) rejected the submissions of the assessee by observing as under: “3.9 I have carefully considered the submissions of the Assessee and the contentions laid down by the AO in the assessment order. The Assessee has received payment from WNS India towards international telecom connectivity facilit…

ITO (TDS), New Delhi vs. Bharti Airtel Ltd., Gurgaon

In the result, all the Appeals of the Assessee are allowed and all the Revenue’s Appeals are dismissed

ITA 4077/DEL/2012[2009-10 (F.Y. 2008-09)]Status: DisposedITAT Delhi17 Mar 2016

Bench: Shri H.S. Sidhu & Shri J. Sudhakar Reddy

For Appellant: Sh. S.K. Tulsiyan, Adv., ShFor Respondent: Sh. Anuj Arora, CIT(DR)
Section 194JSection 201Section 201(1)Section 9Section 9(1)(vii)

…sing the network of the FTO, the payment made is not for “use of process”, hence, not in the nature of royalty. d) The AO’s reliance on the judgment of the Chennai Bench of the Tribunal in the case of Verizon Communications Singapore Pte. Ltd. vs. ITO (2011) 45 SOT 263 (Chennai) is misplaced, as in that case the Indian Company obtained ‘Leased Lines’ on hire/lease basis under the contract. The facts are different. ITA Nos. 3593 TO 3596/Del/2012 [Bharti Airtel Ltd. vs. ITO(TDS)] & ITA Nos. 4076 TO 4079/Del/2012 [ITO(TDS) vs. Bharti Airtel Ltd.] e) Explanation 5 & 6 incorporated in Section 9(1)(vi) by the Finance…

ITO (TDS), New Delhi vs. Bharti Airtel Ltd., Gurgaon

In the result, all the Appeals of the Assessee are allowed and all the Revenue’s Appeals are dismissed

ITA 4076/DEL/2012[2008-09 (F.Y. 2007-08)]Status: DisposedITAT Delhi17 Mar 2016

Bench: Shri H.S. Sidhu & Shri J. Sudhakar Reddy

For Appellant: Sh. S.K. Tulsiyan, Adv., ShFor Respondent: Sh. Anuj Arora, CIT(DR)
Section 194JSection 201Section 201(1)Section 9Section 9(1)(vii)

…sing the network of the FTO, the payment made is not for “use of process”, hence, not in the nature of royalty. d) The AO’s reliance on the judgment of the Chennai Bench of the Tribunal in the case of Verizon Communications Singapore Pte. Ltd. vs. ITO (2011) 45 SOT 263 (Chennai) is misplaced, as in that case the Indian Company obtained ‘Leased Lines’ on hire/lease basis under the contract. The facts are different. ITA Nos. 3593 TO 3596/Del/2012 [Bharti Airtel Ltd. vs. ITO(TDS)] & ITA Nos. 4076 TO 4079/Del/2012 [ITO(TDS) vs. Bharti Airtel Ltd.] e) Explanation 5 & 6 incorporated in Section 9(1)(vi) by the Finance…

Bharti Airtel Ltd., Gurgaon vs. ITO (TDS), New Delhi

In the result, all the Appeals of the Assessee are allowed and all the Revenue’s Appeals are dismissed

ITA 3596/DEL/2012[2011-12 (F.Y. 2010-11)]Status: DisposedITAT Delhi17 Mar 2016

Bench: Shri H.S. Sidhu & Shri J. Sudhakar Reddy

For Appellant: Sh. S.K. Tulsiyan, Adv., ShFor Respondent: Sh. Anuj Arora, CIT(DR)
Section 194JSection 201Section 201(1)Section 9Section 9(1)(vii)

…sing the network of the FTO, the payment made is not for “use of process”, hence, not in the nature of royalty. d) The AO’s reliance on the judgment of the Chennai Bench of the Tribunal in the case of Verizon Communications Singapore Pte. Ltd. vs. ITO (2011) 45 SOT 263 (Chennai) is misplaced, as in that case the Indian Company obtained ‘Leased Lines’ on hire/lease basis under the contract. The facts are different. ITA Nos. 3593 TO 3596/Del/2012 [Bharti Airtel Ltd. vs. ITO(TDS)] & ITA Nos. 4076 TO 4079/Del/2012 [ITO(TDS) vs. Bharti Airtel Ltd.] e) Explanation 5 & 6 incorporated in Section 9(1)(vi) by the Finance…

Bharti Airtel Ltd., Gurgaon vs. ITO (TDS), New Delhi

In the result, all the Appeals of the Assessee are allowed and all the Revenue’s Appeals are dismissed

ITA 3595/DEL/2012[2010-11 (F.Y. 2009-10)]Status: DisposedITAT Delhi17 Mar 2016

Bench: Shri H.S. Sidhu & Shri J. Sudhakar Reddy

For Appellant: Sh. S.K. Tulsiyan, Adv., ShFor Respondent: Sh. Anuj Arora, CIT(DR)
Section 194JSection 201Section 201(1)Section 9Section 9(1)(vii)

…sing the network of the FTO, the payment made is not for “use of process”, hence, not in the nature of royalty. d) The AO’s reliance on the judgment of the Chennai Bench of the Tribunal in the case of Verizon Communications Singapore Pte. Ltd. vs. ITO (2011) 45 SOT 263 (Chennai) is misplaced, as in that case the Indian Company obtained ‘Leased Lines’ on hire/lease basis under the contract. The facts are different. ITA Nos. 3593 TO 3596/Del/2012 [Bharti Airtel Ltd. vs. ITO(TDS)] & ITA Nos. 4076 TO 4079/Del/2012 [ITO(TDS) vs. Bharti Airtel Ltd.] e) Explanation 5 & 6 incorporated in Section 9(1)(vi) by the Finance…

Bharti Airtel Ltd., Gurgaon vs. ITO (TDS), New Delhi

In the result, all the Appeals of the Assessee are allowed and all the Revenue’s Appeals are dismissed

ITA 3594/DEL/2012[2009-10 (F.Y. 2008-09)]Status: DisposedITAT Delhi17 Mar 2016

Bench: Shri H.S. Sidhu & Shri J. Sudhakar Reddy

For Appellant: Sh. S.K. Tulsiyan, Adv., ShFor Respondent: Sh. Anuj Arora, CIT(DR)
Section 194JSection 201Section 201(1)Section 9Section 9(1)(vii)

…sing the network of the FTO, the payment made is not for “use of process”, hence, not in the nature of royalty. d) The AO’s reliance on the judgment of the Chennai Bench of the Tribunal in the case of Verizon Communications Singapore Pte. Ltd. vs. ITO (2011) 45 SOT 263 (Chennai) is misplaced, as in that case the Indian Company obtained ‘Leased Lines’ on hire/lease basis under the contract. The facts are different. ITA Nos. 3593 TO 3596/Del/2012 [Bharti Airtel Ltd. vs. ITO(TDS)] & ITA Nos. 4076 TO 4079/Del/2012 [ITO(TDS) vs. Bharti Airtel Ltd.] e) Explanation 5 & 6 incorporated in Section 9(1)(vi) by the Finance…