2019 (8) TMI 1755 - HC - Income Tax

Royalty receipt - Income taxable in India or not - existence of PE in India - Income taxable in India or not - existence of PE in India - customer royalty programmes provided by the assessee to its client and customers - fees for technical services amounted to royalty under Article 12 of India US DTAA - HELD THAT - This question is covered by the ruling of this Court in assessee s case i.e. Director of Income Tax Vs. Sheraton International Inc. 2009 (1) TMI 27 - DELHI HIGH COURT . Decided against the Revenue.

Summary

The Delhi High Court dismissed the Revenue's appeal against an ITAT order regarding centralized services provided by the Assessee for the AY 2011-12. The question was whether these services constituted technical services under the Income Tax Act and the India-US Double Taxation Avoidance Agreement. The Tribunal's decision favored the Assessee based on a previous court ruling, leading to the dismissal of the appeal as no substantial question of law arose.