TMI Blog2014 (10) TMI 100X X X X Extracts X X X X X X X X Extracts X X X X ..... its technical knowledge, experience or skill - the Tribunal rightly held that, as Sun Singapore is not having any permanent establishment and that Sun Singapore has not made available the technical knowledge, experience or skill, the payments made by assessee to Sun Singapore were not required to be taxed under the head "business" and is not taxable in view of Article 7 of DTAA between India and Singapore – relying upon Commissioner of Income Tax and others Vs. De Beers India Minerals (P) Ltd. [2012 (5) TMI 191 - KARNATAKA HIGH COURT] when once factually it is held the technical services has not been made available, then, there is no liability to deduct tax at source – the order of the Tribunal is upheld – Decided against revenue. - IT APP ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... essee is engaged in marketing and support system of hardware and software products. The material on record do not disclose that Sun Singapore has made available to the assessee its technical knowledge, experience or skill. Under these circumstances, the Tribunal held that, as Sun Singapore is not having any permanent establishment and that Sun Singapore has not made available the technical knowledge, experience or skill, the payments made by assessee to Sun Singapore were not required to be taxed under the head business and is not taxable in view of Article 7 of DTAA between India and Singapore. The revenue is challenging the said finding on the ground that the terms of the agreement provides for making available inventory physical moveme ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... apore has not made available to the assessee the technology or the technological services which is required to provide the distribution, management and logistic services. That is a finding of fact recorded by the Tribunal on appreciation of the entire material on record. When once factually it is held the technical services has not been made available, then in view of the law declared in the aforesaid judgment, there is no liability to deduct tax at source and therefore, the finding recorded by the Appellate Authority cannot be found fault with. In that view of the matter, the substantial question of law is answered in favour of the assessee and against the revenue. 5. Accordingly, the appeal is dismissed. - - TaxTMI - TMITax - Inco ..... X X X X Extracts X X X X X X X X Extracts X X X X
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