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2019 (5) TMI 1591 - AT - Income TaxTDS u/s 195 - disallowance of payments made outside India u/s 40(a)(i) - render services for handling all operations including co-ordinating with Indian teams for maintaining, rectifying problems testing, upgrading/supporting customers, content providers, etc., at Uganda - independent personnel services or professional services - DTAA provisions - HELD THAT:- As held that article 14 of the Double Taxation Avoidance Agreement is more specific as it applies specifically to professional services provided by the individual resident whereas article 12 provides for residents of foreign countries and therefore article 12 is broader in scope and general in nature compared to article 14 of the Double Taxation Avoidance Agreement. We hold that in the facts of present case, the services received by the assessee from these three persons is covered by article 14 and therefore, the same cannot be included in article 12 because as per article 12(3)(b), it is specifically provided that the term 'fees for technical services does not include payments for services mentioned in articles 14 and 15 of this convention. In the present case, article 14 is applicable and therefore, the receipt of these three persons cannot be considered under article 12(3)(b) and as a consequence, the same is taxable in the country of resident, i. e., Uganda and therefore, no TDS was deductible u/s 195 and consequently, disallowance u/s 40(a)(i) is not justified
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