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2013 (1) TMI 796 - AT - Income TaxNature of Fees for technical services - Held that:- The assessee co. is incorporated in Hongkong and belongs to the CLSA Group of companies - amount in question received by the assessee company from CLSA India Ltd. - It was contended that the said contribution was paid towards reimbursement of various indirect overhead expenses incurred by the assessee company without any markup or service charges and the same being recovery of the overhead expenses actually incurred by the assessee company without any profit element, the same did not constitute income of the assessee company - the additional evidence filed by the assessee is very much relevant for deciding the issue under consideration - matter is remitted to CIT (Appeals) in order to give an opportunity to the learned CIT (Appeals) to verify the additional evidence and decide the issue afresh on such verification - Matter remanded back for statistical purposes Addition made on account of referral fees treating it in the nature of fees for technical services - whether the referral fees received by the assessee who is a non-resident in India from CLSAI is chargeable to tax in India - Held that:- there was no business income in India of the applicant u/s 9(1)(i) nor even the deemed income as per Explanation 2 to sec 9(1)(i) - the referral fees paid by the Indian company was not fees for technical services u/s 9(1)(vii) - the referral fees received by the assessee is not taxable in India as per the case of Cushman and Wakefield (S) Pet. Ltd. (supra) - addition made by the AO and confirmed by the CIT on this issue is deleted - Decided in favor of assessee
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