Home Case Index All Cases Income Tax Income Tax + AT Income Tax - 2015 (2) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2015 (2) TMI 283 - AT - Income TaxIncome deemed to accrue or arise in India - Non deduction of tds on commission paid to non-residents for services rendered outside India - Held that:- The assessee has submitted copy of bank account maintained outside India showing credit of his earnings in dollars. We also note that the same issue came up for consideration in case of the assessee for A.Y. 2008-09 and the Hon’ble ITAT 'A' Bench, Chennai following its earlier decision reported [2012 (6) TMI 404 - ITAT CHENNAI] held that in respect of payments made by M/s. Ajapa Integrated Project Management Consultancy Pvt. Ltd. to non-residents, disallowance cannot be made u/s. 40A(1) for the reason that income is taxable in the hands of the non-residents who rendered services abroad vide paragraph 18 in the order of the ITAT reported in ( 2012 (9) TMI 285 - ITAT, CHENNAI). Similar view has been taken by ITAT Chennai Bench in the case of Mahindra Holidays & Resorts India Ltd. vs. JCIT (2013 (10) TMI 925 - ITAT CHENNAI). Therefore, in the light of the ratio of aforementioned cases, in our opinion, the AO is not correct in bringing to tax the amount of ₹ 81,45,025 in the hands of the assessee. Hence, the addition made by the Assessing Officer is directed to be deleted. Decided in favour of assessee.
|