Home Case Index All Cases Income Tax Income Tax + AT Income Tax - 2012 (12) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2012 (12) TMI 594 - AT - Income TaxDeduction u/s.80-O - Deduction in respect of royalties, etc., from certain foreign enterprises - Whether the consideration received by the assessee was for use outside India of patent, invention, design or registered trade mark – Assessee enter into no. of agreements from dated 11.10.91 to 23.10.1998 – Held that:- the appellant is in no position to “allow use” of the designs and that Bosch is free to use the designs, in any case. In the circumstances, it cannot be held that the fees received from outside India were for use of the designs but can only be considered as fees for services rendered. Assessee has attempted to camouflage its claim for deduction u/s.80-O of the Act for AY 2001-02, so as to be in conformity with the amended provisions of law, though the nature of services remained the same as it existed prior to AY 98-99. Therefore, Assessee has failed to establish its claim for deduction on the basis of the conditions contemplated by the amended provisions of law. In favour of revenue Levy of interest u/s 220(2) - Assessee contended that notice of demand u/s 156 was not issued and served - therefore the very levy of interest u/s 220(2) was not warranted – Held that:- Following the decision in case of Central Provinces Manganese Ore (1986 (5) TMI 3 - SUPREME COURT) that appeal against levy of interest in the present case would be maintainable. Therefore direct the AO to consider the claim of the assessee afresh in the light of the submissions made before us challenging the levy of interest. Issue remand back to AO
|