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2018 (4) TMI 989 - AT - Income TaxTDS liability on management charges paid - additions u/s 40(a)(i) - fee for technical services - Held that:- The tribunal in assessee's own case had decided the issue in favour of the assessee by following the judgment of Hon’ble Delhi High Court in the case of Herbalifc International India P.Ltd. (2016 (5) TMI 697 - DELHI HIGH COURT) as held Section 40 (a) (i) of the Act is discriminatory and therefore, not applicable in terms of Article 26 (3) of the Indo-US DTAA. The object of article 26(3) of the Double Taxation Avoidance Agreement was to ensure non-discrimination in the condition of deductibility of the payment in the hands of the payer where the payee is either a resident or a non-resident. That object would gel defeated as a result of the discrimination brought about qua non-resident by requiring the tax to be deducted at source while making payment of fees for technical services in terms of section 40(a)(i) of the Act - decided in favour of assessee
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