fees for technical services — 1,408 case laws

I.A.R. Systems Aktiebolag, Mumbai vs. DCIT(It)-2(2)(1), Mumbai

In the result, appeals filed by the assessee are allowed

ITA 598/MUM/2022[2018-19]Status: DisposedITAT Mumbai02 May 2023AY 2018-19

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

fact that the income earned by the appellant towards provision of support services amounting to Rs. 36,37,596 is not taxable as fees for technical services (FTS) as per Article 12 of the India-Sweden Tax Treaty r.w. the Most Favored Nation (MFN) clause as contained in the India ... analyzing the above chart, Ld. DRP held that the above receipts are chargeable to tax under Fee for Technical Services (in short “FTS”) as per section 9(1)(vii) of the Act and as per India-Sweden DTAA article 12(3)(b). Page No. | 10 ITA NO.598 & 1850/MUM/2022

Deputy Commissioner of Income Tax (It)-3(2)(1), Mumbai vs. M/S Marriott International Design & Construction Services Inc., Mumbai

In the result the appeal filed by the Assessing Officer is thus dismissed

ITA 2977/MUM/2022[2018-2019]Status: DisposedITAT Mumbai02 May 2023AY 2018-2019

Bench: Shri Amit Shukla, Hon'Ble & Shri S. Rifaur Rahman, Hon'Bledcit (It) – 3(2)(1) V. M/S. Marriott International Design Room No. 1632, 16Th Floor & Construction Services Inc., Air India Building, Nariman Point C/O. Marriot Hotels India Pvt. Ltd., Mumbai – 400 021 303A, 304, Fulcrum B-Wing, Hiranandani Business Park Mumbai, Sahar Road Andheri (E) - 400099 Pan: Aagcm5401Q (Appellant) (Respondent) C.O. No. 01/Mum/2023 [Arising Out Of Ita No. 2977/Mum/2022 (A.Y: 2018-19)] M/S. Marriott International Design V. Dcit (It) – 3(2)(1) & Construction Services Inc., Room No. 1632, 16Th Floor C/O. Marriot Hotels India Pvt. Ltd., Air India Building 303A, 304, Fulcrum Nariman Point B-Wing, Hiranandani Business Park Mumbai – 400 021 Mumbai, Sahar Road Andheri (E) - 400099 Pan: Aagcm5401Q (Appellant) (Respondent) Assessee Represented By : Shri Paras Savla Department Represented By : Shri Kunal Haver

Section 143(2)Section 143(3)Section 144C

with the following observations:- “11. The Technical Service Agreement entered into by the the assessee company with the 'OWNERS' are fees for Technical Services clearly as held by the Assessee. They also make available a complete Technical Design and a Technical Plan to the OWNER for operating the hotel ... company. 14. Therefore as per the above discussions, the income of Rs.7,44,85,003/- received from the hotel owners is taxable as fees for technical services u/s 9(1)(vii) of the Income tax act and as Fees for included services as per Article

Expeditors International of Washington, Usa vs. ACIT, Circle 1(2)(2), International Taxation, New Delhi

In the result, the appeal of the assessee is allowed

ITA 355/DEL/2023[2020-21]Status: DisposedITAT Delhi02 May 2023AY 2020-21

Bench: Shri G.S. Pannu, Hon’Ble & Ms. Astha Chandraasstt. Year: 2020-21

For Appellant: Shri Rohan Khare, AdvFor Respondent: Shri Vizay Vasanta, CIT- DR

Section 143(3)Section 234ASection 234BSection 270ASection 9(1)(vi)Section 9(1)(vii)

assessee on account of the following additions proposed by him:- i. Sale of logistic services and global account manager expenses received, assessed as Fees for Technical Services (“FTS”) under the Act as well as India-USA Double Taxation Avoidance Agreement (“DTAA”) amounting

Elsevier Ltd, Gurgoan vs. ACIT, Circle-1(2)(2), International Taxation, New Delhi

In the result, the appeal is allowed

ITA 2351/DEL/2022[2018-19]Status: DisposedITAT Delhi27 Apr 2023AY 2018-19

Bench: Shri Saktijit Dey & Dr. Brr Kumarassessment Year: 2018-19

Section 143(3)Section 144C(13)

whether the amount has been received by the assessee from Indian customers towards subscription fee is either in the nature of royalty or Fee for Technical Services (FTS). 3. Briefly, the facts relating to this issue are, assessee is a non- resident corporate entity incorporated in United Kingdom ... royalty as provided under Artricle–12 of the India–Germany Tax Treaty. Article–12.1 of the Tax Treaty provides that royalty and fees for technical services arising in a contracting state and paid to a resident of the other contracting state may be taxed in the other state

Elsevier Inc, New York vs. ACIT, Circle Int. Taxation 1(2)(2), Delhi

In the result, the appeal is allowed

ITA 2350/DEL/2022[2018-19]Status: DisposedITAT Delhi27 Apr 2023AY 2018-19

Bench: Shri Saktijit Dey & Dr. Brr Kumarassessment Year: 2018-19

Section 143(3)Section 144C(13)

appeal is whether the amount received by the assessee from Indian customers towards subscription fee is either in the nature of royalty or Fee for Technical Services (FTS) or Fee for Included Services (FIS). 3. Briefly, the facts relating to this issue are, assessee is a non- resident corporate entity ... royalty as provided under Artricle–12 of the India–Germany Tax Treaty. Article–12.1 of the Tax Treaty provides that royalty and fees for technical services arising in a contracting state and paid to a resident of the other contracting state may be taxed in the other state

DCIT (It)-4(1)(1), Mumbai vs. M/S Reliance Jio Infocomm Ltd, Mumbai

In the result, the appeal of the Revenue stands dismissed

ITA 2866/MUM/2022[2019-20]Status: DisposedITAT Mumbai26 Apr 2023AY 2019-20

Bench: Shri Aby T. Varkey, Jm & Shri Amarjit Singh, Am आयकर अपील सं/ I.T.A. No.2866/Mum/2022 (निर्धारण वर्ा / Assessment Year: 2019-20) Dcit(It)-4(1)(1) बिधम/ M/S. Reliance Jio Room No. 1712, 17Th Floor, Infocomm Ltd Vs. Air India Building, Nariman 3Rd Floor, Maker Point, Mumbai-400021. Chamber-Iv, 222, Nariman Point, Mumbai- 400021. स्थधयी लेखध सं./जीआइआर सं./Pan/Gir No. : Aabci6363G (अपीलार्थी /Appellant) .. (प्रत्यर्थी / Respondent) Assessee By: Shri Nimesh Vora/Ms. Moksha Moksha Mehta Revenue By: None सुनवाई की तारीख / Date Of Hearing: 24/02/2023 घोषणा की तारीख /Date Of Pronouncement: 26/04/2023 आदेश / O R D E R Per Aby T. Varkey, Jm: This Is An Appeal Preferred By The Revenue Against The Order Of The Ld. Cit(A)/Nfac, Mumbai Dated 08.09.2022 For The Ay 2019-20. 2. The Grounds Of Appeal Of The Revenue Are As Under: - A. “Whether On The Facts & Circumstances Of The Case & In Law, The Ld. Cit(A) Has Erred In Holding That Tax Was Not Required To Be Deducted At Source On The Payment Made By The Assessee To Reliance Jio Infocomm Uk (Rjiuk) For Availing Bandwidth Services As It Did Not Amount To Income Of The Payee By Way Of Royalty U/S 9(1)(Vi) Of The It Act, 1961 Read With Article 13 Of The India-Uk Dtaa. B. “Whether On The Facts & Circumstances Of The Case & In Law, The Ld, Cit(A) Has Erred In Holding That Tax Was Not Required To Be Deducted At Source On The Payment Made By The Assessee To Reliance Jio Infocomm Uk (Rjiuk) For Availing Bandwidth Services As It Did Not Amount To Income Of The Payee

For Appellant: Shri Nimesh Vora/Ms. MokshaFor Respondent: None

Section 195Section 248Section 9Section 9(1)(vi)

earlier years’ orders was indeed applicable. He invited our attention to the relevant Article 12 of India-Singapore DTAA (royalties and fees for technical services) which inter alia defined the term ‘royalty’ as under: - “3. The term ‘royalties’ as used in this Article means payments of any kind received

Gebr.Pfeiffer Se, Germany vs. CIT(Drp-1), Mumbai 3, Mumbai

In the result, the appeal of the assessee are partly allowed

ITA 54/MUM/2022[2017-2018]Status: DisposedITAT Mumbai20 Apr 2023AY 2017-2018

Bench: Shri Aby T Varkey & Shri Amarjit Singhgebr Pfeiffer Se Vs. Acit, Circle 2(3)(2) Barbarossastr 50-54, 1711, 17Th Floor, Air Kaiserlautern, Germany India Building, 676550 Nariman Point, Mumbai - 400021 स्थायी लेखा सं./जीआइआर सं./Pan/Gir No: Aaecg9980A Appellant .. Respondent Gebr Pfeiffer Se Vs. Cit(Drp-1) Barbarossastr 50-54, Income Tax Department Kaiserlautern, Germany Mumbai -3 676550 स्थायी लेखा सं./जीआइआर सं./Pan/Gir No: Aaecg9980A Appellant .. Respondent

For Appellant: Salil Aggarwal &For Respondent: Soumendu Kumar Dash

under the head profit and gains from business or profession chargeable to tax @ 40% on gross basis and Rs.1,65,51,649/ - as fees for technical services chargeable to tax @ 15% on gross basis. While working of tax on total income the assessee determined gross tax including surcharge and education

Gebr.Pfeiffer Se, Germany vs. ACIT Circle 2(3)(2), International Taxation, Mumbai

In the result, the appeal of the assessee are partly allowed

ITA 1507/MUM/2021[2017-2018]Status: DisposedITAT Mumbai20 Apr 2023AY 2017-2018

Bench: Shri Aby T Varkey & Shri Amarjit Singhgebr Pfeiffer Se Vs. Acit, Circle 2(3)(2) Barbarossastr 50-54, 1711, 17Th Floor, Air Kaiserlautern, Germany India Building, 676550 Nariman Point, Mumbai - 400021 स्थायी लेखा सं./जीआइआर सं./Pan/Gir No: Aaecg9980A Appellant .. Respondent Gebr Pfeiffer Se Vs. Cit(Drp-1) Barbarossastr 50-54, Income Tax Department Kaiserlautern, Germany Mumbai -3 676550 स्थायी लेखा सं./जीआइआर सं./Pan/Gir No: Aaecg9980A Appellant .. Respondent

For Appellant: Salil Aggarwal &For Respondent: Soumendu Kumar Dash

under the head profit and gains from business or profession chargeable to tax @ 40% on gross basis and Rs.1,65,51,649/ - as fees for technical services chargeable to tax @ 15% on gross basis. While working of tax on total income the assessee determined gross tax including surcharge and education

Maruti Suzuki India Ltd, New Delhi vs. DCIT, Circle-16(1), New Delhi

ITA 1953/DEL/2022[2018-19]Status: FixedITAT Delhi20 Apr 2023AY 2018-19

Bench: Shri G. S. Pannu, Shri N.V.Vasudevan & Shri Vikas Awasthyआअसुं.6997/म ुं/2019(धन.व. 2016-17) Deputy Commissioner Of Income Tax Circle 11(3)(1), Mumbai ...... अपीलाथी/Appellant बनाम Vs. Total Oil India Pvt. Ltd. 3Rd Floor, The Leela Galleria, Andheri ( East), Mumbai 400 059 ..... प्रधिवादी/Respondent Pan: Aaace-2175-M C.O. No.57/Mum/2019 Total Oil India Pvt. Ltd. Mumbai – 400 059 ...... Cross Objector बनाम Vs. Deputy Commissioner Of Income Tax ...... प्रधिवादी/Respondent Circle 11(3)(1), Mumbai.

For Appellant: Shri Niraj ShethFor Respondent: Shri Vinod Tanwani, CIT-DR

Section 115