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2019 (9) TMI 1698 - AT - Income TaxTaxability of managements fees as ‘Royalty’ - India-Netherlands Treaty - whether payment received by assessee are on account of reimbursement? - HELD THAT:- We have noted that on almost similar set of fact and on the basis of same service agreement between the assessee and VOIPL, the Assessing Officer for A.Y. 2009-10 treated the amount received on account of various services rendered by assessee as royalty, however, on appeal before the Tribunal, the same was held as reimbursement of cost vide order [2016 (11) TMI 1249 - ITAT MUMBAI]. Considering the decision of co-ordinate bench of A.Y. 2009-10 [2016 (11) TMI 1249 - ITAT MUMBAI], which was followed in A.Y. 2013-14 & 2014-15 [2017 (11) TMI 1912 - ITAT MUMBAI] wherein the similar payments received pursuant to the same agreement was treated that payment received by assessee are on account of reimbursement and does not fall under the definition of ‘Royalty’ as defined in Article-12(4) of the India- Netherlands Tax Treaty. Decided in favour of assessee.
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