“business connection”

Nan Lion Ship Management Llc, Mumbai vs. Assistant Commissioner of Income Tax (International Taxation) -3(3)(1), Mumbai

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

Bench: Shri Amit Shukla, Jm & Shri Gagan Goyal, Am आयकरअपीलसं./ I.T.A. No. 1857/Mum/2022 (निर्धारणवर्ा / Assessment Year: 2019-20) Acit (Int. Tax) – 3(3)(1), Nan Lian Ship Management 1630, 16Th Floor, Air India Llc Building Nariman Point, C/O- Chamber 2 & 3, Cosmos बिधम/ Mumbai-400 021 Trade Place, Ground Floor, Vs. Khatu Building, Opp-Bse, Fort, Mumbai-400 001 स्थायीलेखासं./जीआइआरसं./ Pan No. Aagcn0478E (अपीलाथी/Appellant) (प्रत्यथी / Respondent) : अपीलाथीकीओरसे/ Appellant By : Shri Nishit Gandhi /Dhanlaxmi Iyer, Ld. Ars प्रत्यथीकीओरसे/Respondent By : Shri Soumendu Kumar Das, Ld. Dr सुनवाईकीतारीख/ : 03.11.2022 Date Of Hearing घोषणाकीतारीख / : 30.12.2022 Date Of Pronouncement आदेश / O R D E R Per Amit Shukla: The Aforesaid Appeal Has Been Filed By The Assessee Against The Final Assessment Order Dated 27.05.2022, Passed By Ld. Ao U/S 2

that income by way of royalty payable by a person who is a resident arising or accruing whether directly or indirectly through or from business connection in India shall be deemed to accrue or arise in India. Sub-clause (b) states that the income by way of royalty is payable

Avinash Narayan Sutar, Navi Mumbai vs. ITO 28(1)(2), Mumbai

In the result, the appeal filed by the revenue is dismissed and the three appeals filed by the asssessee are allowed

Bench: Shri Baskaran Br & Shri Pavan Kumar Gadaleita Nos. 1029, 1030 & 1031/Mum/2020 (A.Ys: 2011-12, 2012-13 & 2010-11) Avinash Narayan Sutar Vs. Ito – 28(1)(2) Plot No. 582, Laxmi Tower No.6, Vashi Niwas, Sector -1, Station, Navi Mumbai- Shiravana, Nerul, Navi 400703. Mumbai – 400706. "थायी लेखा सं./जीआइआर सं./Pan/Gir No. : Arsps9036R Appellant .. Respondent Ito – 28(1)(2) Vs. Avinash Narayan Sutar Tower No.6, Vashi Plot No. 582, Laxmi Station, Navi Mumbai- Niwas, Sector -1, 400703. Shiravana, Nerul, Navi Mumbai – 400706. "थायी लेखा सं./जीआइआर सं./Pan/Gir No. : Arsps9036R Appellant .. Respondent

persons were not paid any consideration for the work done by them on behalf of the assessee and they also did not have any business connection with the assessee. The above facts raise suspicion as to why so many persons would work for the assessee without any salary/commission. Further

Owens-Corning(Singapore)Pte.Ltd., Mumbai vs. The Deputy Commissioner of Income-Tax (Internatioal Taxation) Circle-3(2)(2), Mumbai

In the result, appeal of assessee is allowed

Bench: Shri Amit Shukla & Shri Gagan Goyal

taxable in India as the assessee has neither any permanent establishment in India as per Article 5 of India Singapore Treaty nor any business connection in India. 4. The 'Bushings are being used in the process of manufacture of glass fibers. These 'Bushings' are made of precious metal viz platinum ... same for taxation stating that these fabrication charges received are not taxable in India since the company does not have any Permanent Establishment or Business Connection in India. Also these charges are not for any equipment and hence cannot be said to be Royalty in terms of Article

Edenred Sa, Mumbai vs. ACIT (It) 2(2)(1), Mumbai

In the result, this appeal by the assessee is allowed

Bench: Shri S. Rifaur Rahman & Shri Sandeep Singh Karhail

further held that the Indian company’s access to mainframe computers through electronic connectivity on the basis of a contract for use establishes a business connection of the assessee with the Indian company in India. Accordingly, the AO came to the conclusion that income is taxable under the head royalty

Edenred Sa, Mumbai vs. DCIT (It) 2(1)(2), Mumbai

In the result, this appeal by the assessee is allowed

Bench: Shri S. Rifaur Rahman & Shri Sandeep Singh Karhail

further held that the Indian company’s access to mainframe computers through electronic connectivity on the basis of a contract for use establishes a business connection of the assessee with the Indian company in India. Accordingly, the AO came to the conclusion that income is taxable under the head royalty

Edenred Sa, Mumbai vs. DCIT (It) 2(1)(2), Mumbai

In the result, this appeal by the assessee is allowed

Bench: Shri S. Rifaur Rahman & Shri Sandeep Singh Karhail

further held that the Indian company’s access to mainframe computers through electronic connectivity on the basis of a contract for use establishes a business connection of the assessee with the Indian company in India. Accordingly, the AO came to the conclusion that income is taxable under the head royalty

Edenred Sa, Mumbai vs. DCIT (It) 2(2)(1), Mumbai

In the result, this appeal by the assessee is allowed

Bench: Shri S. Rifaur Rahman & Shri Sandeep Singh Karhail

further held that the Indian company’s access to mainframe computers through electronic connectivity on the basis of a contract for use establishes a business connection of the assessee with the Indian company in India. Accordingly, the AO came to the conclusion that income is taxable under the head royalty

General Electric Company, Mumbai vs. Asst DIT (It) 3(1), Mumbai

In the result, the appeal of the assessee for Assessment Year 2001-02 is allowed and the appeal of revenue for A

Bench: Shri Aby T Varkey & Shri M Balaganeshm/S. General Electric Company, C/O Kpmg, Lodha Excelus, Apollo Mills Compound, N.M. Joshi Marg, Mahalaxmi, Mumbai-400011 Pan Aaacg5399M …Appellant. Vs. Asst. Director Of Income Tax, (International Taxation)-3(1), Room No.136, 1St Floor, Scindia House, N M Road Ballard Estate, Mumbai-400038. ….Respondent. Dy. Commissioner Of Income Tax, International Taxation-3(1), Mumbai-400 038 ….Appellant. Vs. M/S. General Electric Company, Mahalaxmi, Mumbai. ….Respondent. Assessee By : Shri Percy Pardiwala, Ms. Fereshte Sethna, Shri Mrunal Parekh, Shri Abhishek Tilak & Shri Ameya Pany. Revenue By : Ms. Surabi Sharma, Cit D.R. Shri Sunil Umap, Cit- D.R. Date Of Hearing : 15.12.2022 Date Of Pronouncement : 23.12.2022

resident GE group entities. This results into the creation of the dependent agent PE as per the provisions of the tax treaties and business connection as per the provisions of Explanation 2 to Section 9(1)) of the Income Tax Act, 1961. The activities of the third parties working ... group as mentioned above also may constitute agency PE/ business connection of the GE group entities. 14. It is possible that in respect of various projects relating to rendering of services / supervisory services, such GE group entities will be considered to have the PE as per the other paragraphs

DDIT (It) 3(1), Mumbai vs. General Electric Company, Mumbai

In the result, the appeal of the assessee for Assessment Year 2001-02 is allowed and the appeal of revenue for A

Bench: Shri Aby T Varkey & Shri M Balaganeshm/S. General Electric Company, C/O Kpmg, Lodha Excelus, Apollo Mills Compound, N.M. Joshi Marg, Mahalaxmi, Mumbai-400011 Pan Aaacg5399M …Appellant. Vs. Asst. Director Of Income Tax, (International Taxation)-3(1), Room No.136, 1St Floor, Scindia House, N M Road Ballard Estate, Mumbai-400038. ….Respondent. Dy. Commissioner Of Income Tax, International Taxation-3(1), Mumbai-400 038 ….Appellant. Vs. M/S. General Electric Company, Mahalaxmi, Mumbai. ….Respondent. Assessee By : Shri Percy Pardiwala, Ms. Fereshte Sethna, Shri Mrunal Parekh, Shri Abhishek Tilak & Shri Ameya Pany. Revenue By : Ms. Surabi Sharma, Cit D.R. Shri Sunil Umap, Cit- D.R. Date Of Hearing : 15.12.2022 Date Of Pronouncement : 23.12.2022

resident GE group entities. This results into the creation of the dependent agent PE as per the provisions of the tax treaties and business connection as per the provisions of Explanation 2 to Section 9(1)) of the Income Tax Act, 1961. The activities of the third parties working ... group as mentioned above also may constitute agency PE/ business connection of the GE group entities. 14. It is possible that in respect of various projects relating to rendering of services / supervisory services, such GE group entities will be considered to have the PE as per the other paragraphs

Barclays Capital Mauritius Limited (in Liquidation), Mumbai vs. JCIT (OSD) (It)-1(2)(1), Mumbai

In the result, appeal by the assessee is partly allowed

Bench: Shri Vikas Awasthy & Shri Gagan Goyalआअसं.509/मुं/2022 ("न.व. 2015-16) Barclays Capital Mauritius Limited. (In Liquidation) C/O. Srbc & Associates Llp 14Th Floor, The Ruby, 29 Senapati Bapat Marg, Dadar (West), Mumbai 400 028 Pan: Aaccb-4438-L ...... अपीलाथ" /Appellant बनाम Vs. Joint Commissioner Of Income Tax (It)-1(2)(1),Mumbai, 18Th Floor, Room No.1811, Air India Building, Nariman Point, Mumbai 400 021. ..... ""तवाद"/Respondent अपीलाथ" "वारा/ Appellant By : Ms.Jasmin Amalsadvala ""तवाद" "वारा/Respondent By : Shri Soumendu Kumar Dash सुनवाई क" "त"थ/ Date Of Hearing : 06/09/2022 घोषणा क" "त"थ/ Date Of Pronouncement : 02/12/2022 आदेश/ Order Per Vikas Awasthy, Jm: This Appeal By The Assessee Is Directed Against The Assessment Order Dated 31/01/2022 Passed U/S. 147 R.W.S. 143(3) R.W.S. 144C Of The Income Tax Act, 1961 [In Short ‘The Act’]For The Assessment Year 2015-16. 2 2. Ms.Jasmin Amalsadvala Appearing On Behalf Of The Assessee Submitted At The Outset That She Is Not Pressing Ground No.1 Of Appeal Challenging Reassessment Proceedings.

ownership of these shares belongs to the SCB-India, and NYB- Mellon has received it as a custodian for the assessee. The business connection between this income and India is thus clearly evident and beyond any doubt or controversy. SCB-India is Indian depository of the underlying shares in questions ... this backdrop, look at Section 9(1)(i) which provides that “all incomes accruing or arising, whether directly or indirectly, through or from any business connection in India, or though or from any property in India, or through or from any assets or source of income in India” will

M/S. Warner Bros.Distributing Inc., Mumbai vs. ACIT (Intl Tax)-4(3) (2), Mumbai

In the result, appeal of the assessee is allowed pro-tanto

Bench: Shri Vikas Awasthy & Shri Gagan Goyalvkvkla- 1721@Eaqcbz@2022 ¼Fu-Oa- 2019&20½ ..... Vihykfkhz/Applicant Warner Bros. Distributing Inc. C/Of The Act Warner Bros. Pictures India Pvt. Ltd. 407, 4Th Floor, Windfall, Sahar Plaza Complex, Andheri Kurla Road, Jb Nagar Andheri East, Mumbai-400 059 Pan No. Aaacw6559R Cuke Vs. ..... Izfroknh/Respondent Assistant Commissioner Of Income Tax Room No.1611, 16Th Floor, Air India Building Nariman Point, Mumbai-400 021

arises in India u/s 5(2) of the Act and thus, is taxable in India. The learned DR further submits that the assessee has business connection in India within the meaning of section 9(1)(i) of the Act. 6. We have heard the submissions made by rival sides ... Indian Income Tax Act in India if not as royalty, but as business income. The CIT (A) finding is that assessee has a business connection in India. However, he considered that there is no PE to the assessee, the fact of which was also accepted by the Assessing Officer

Sr Technics Switzerland Limited, Mumbai vs. ACIT (It)-4(2)(2), Mumbai

Bench: Shri Vikas Awasthy & Shri Gagan Goyals.R. Technics Switzerland Limited. C/O. B-206, Citipoint, A.K. Road, Andheri (East), Mumbai-400059. Pan: Aalcs3475M ...... Appellant Vs. Acit (International Taxation), Range- 4(2) (2), Mumbai-400020. ..... Respondent Appellant By : Sh. Dhanesh Bafna / Sh. Pratik Shah Respondent By : Ms. Surabhi Sharma, Cit-Dr Date Of Hearing : 29/08/2022 Date Of Pronouncement : 25/11/2022 Order Per Gagan Goyal, A.M: This Appeal By The Assessee Is Directed Against The Order Of Acit(It-4(2)(2), Mumbai, [Hereinafter Referred To As [‘Acit’] Dated 24.09.2018 Passed Under Section 143(3) Read With Section 144(C)(13) Of The Income Tax Act, 1961 (Hereinafter Referred To As [‘The Act’] For The Assessment Year (Ay) 2015-16. The Assessee Has Raised The Following Grounds Of Appeal:

Dispute Resolution Panel (Hon'ble DRP) erred in concluding that the Liaison Office (LO) of the Appellant constitutes a business connection of Appellant in India as per provisions of Section 9(1)(1) of the Income- tax Act, 1961 (IT Act). 2. On the facts and in the circumstances