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2017 (11) TMI 2023 - ITAT MUMBAIIncome deemed to accrue or arise in India - Income taxable in India - Receipts of amount of offshore procurement - business connection must be established - whether the amount received by the assessee on account of was taxable in India as per the provisions of section 44BBB of the Act ? - HELD THAT:- The sums included under the head offshore procurements included the sums payable towards supply of equipment and machinery procured from outside India. There is no doubt that there was a clear demarcation in the work and cost between the members of the JV i.e. the assessee and PLL. We are of the opinion that the facts of the case under appeal and of Ishikawajima [2007 (1) TMI 91 - SUPREME COURT] are almost similar as observed by the FAA. Therefore, confirming his order, we hold that the income earned by the assessee on account of offshore procurement, is not taxable u/s.44BBB of the Act. Appeal filed by the AO stands dismissed.
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