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2015 (3) TMI 147 - AT - Income TaxApplicability of provisions of section 44BB - income arising to the appellant from rendering of marine logistic services - DRP/AO assessing the income earned by the appellant as fees for technical services/royalty as per the provisions of section 9(1)(vii) - Held that:- The judgment of the Hon’ble Madras High Court in Poompuhar Shipping Corporation Ltd. vs. ITO [2013 (10) TMI 936 - MADRAS HIGH COURT] relied by revenue is not applicable since the said decision does not deal with the applicability or otherwise of section 44BB. The revenue’s reliance on section 9(1)(vi) to categorize the assessee’s income for hire of vessels as ‘royalty’ is also not correct since clause (iva) of section 9(1)(vi) excludes amounts referred to in section 44BB. The other arguments, decisions relied on by the learned DR including the one on ‘Base erosion profit shifting’ are also not relevant in the factual matrix of the present case and considering what we have already held. In view of the above, we hold that the income of the assessee for the year under consideration is to be computed in accordance with section 44BB of the Act.- Decided in favour of assessee. TDS credit - Held that:- We direct the AO to verify this aspect and to decide about the allow-ability of the above TDS credit in accordance with law. - Decided in favour of assessee for statistical purposes. Levy of interest u/s 234B - Held that:- The proviso inserted into the provisions of section 209 enables the revenue to levy interest in a case where the payer has not deducted tax at source when he makes payment to a non- resident recipient. However, the proviso was introduced vide Finance Act, 2012 with effect from AY 2012-13 onwards and, thus not applicable in the present case. Consequently, interest cannot be levied under section 234B - Decided in fvaour of assessee.
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