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2011 (9) TMI 548 - DELHI HIGH COURTDTAA - Arm length Price - assessee a Non Resident appointed BWIPL as its authorized agent in India under an airtime sales agreement. In consideration for the services provided by BWIPL, it was to receive a 15% marketing commission of the advertisement revenues received by the assessee from Indian advertisers. - AO argued advertisement revenues accrued in India - BWIPL constituted a business connection of the assessee as well as a permanent establishment - profits to be taxed at 20% - Held That:- In view of Set Satellite (Singapore) Pvt. Ltd. (2008 - TMI - 31858 - BOMBAY HIGH COURT), if correct ALP is applied and paid, nothing further would be left to be taxed in the hands of the foreign enterprise. Further Para 3 of Circular No.742 states agent‘s commission from foreign telecasting companies is 15% or so of the gross sum. - Decided in favour of assessee.
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