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2016 (4) TMI 520 - AT - Income TaxReceipts from Indian entities on account of connectivity charges - Taxation of the receipts as royalty - Held that:- No services are made available in the sense that the recipient of service is enabled to apply the technology, and do the same work without recourse to the service provider. There is no transfer of technology here, and in that sense technical services are not made available. Undoubtedly, the services rendered by the assessee requires technical inputs, but that alone, as we have seen above, does not bring it in the ambit of fees for technical services taxable under article 13 of India UK tax treaty. Thus we are of the considered view that the authorities below were in error in holding that the receipts from Indian entities on account of connectivity charges, are taxable in India. We direct the Assessing Officer to delete the same. - Decided in favour of assessee
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