TMI Blog2013 (10) TMI 215X X X X Extracts X X X X X X X X Extracts X X X X ..... a reimbursement of lease line charges paid by it to international telecom operator – Decided against the Revenue. - IT Appeal (L) NO. 1130 OF 2012 - - - Dated:- 13-2-2013 - J.P. Devadhar AND M.S. SANKLECHA, JJ. For the Appellant : Tejveer Singh. For the Respondent : P.J. Pardiwalla and A.K. Jasani. ORDER:- Office objections waived. 2. In this Appeal by the Revenue for the Assessment Year 2004-05, following questions have been raised for our consideration: (1) Whether on the facts and circumstances of the case, the Tribunal was correct in holding that amount of Rs. 87,53,248/- received from WNS India for marketing and management services in India, is not fees for technical services as per Article 13 of India UK T ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... cumstances of the case and in law, the Tribunal was justified in holding that the reimbursement of various expenses amount to Rs. 1,61,52,807/- by WNS India does not qualify as Fees for Technical services under Article 13(4) of India UK DTAA? (8) Whether on the facts and in the circumstances of the case and in law, the Tribunal was justified in holding that the reimbursement of various expenses amount to Rs. 1,61,52,807/- by WNS India is not attributable to PE in India ignoring the force of attraction rule embedded in India UK Treaty? (9) Whether on the facts and in the circumstances of the case and in law, the Tribunal was justified in holding that an amount of Rs. 1,40,57,752/- received on account of sale of contract is not ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ouble Taxation Avoidance Agreement (India UK DTAA) would give rise to force of attraction Rule. This according to him was also a point urged in their memo of appeal at ground 3 thereof. The relevant ground 3 taken in the memo of appeal filed by the Revenue before the Tribunal reads as under: "On the facts and in the circumstance of the case and in law, the ld. CIT(Appeals) erred in directing the Assessing Officer not to tax the balance receipt of Rs. 24,33,62,066/- being the fee for provision of marketing and management services outside India as the same are not subjected to tax in India (under Article 13(4)(c) of the India UK DTAA) nor same are attributable to service PE in India". On the above basis, Mr. Singh, Counsel appearing ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... dent-Assessee and the Respondent-Assessee recovers the same from WNS India. The Tribunal has come to finding of fact that the reimbursement of lease line charges received by the Respondent-Assessee is the actual amount which is incurred by it on making payment to the international telecom operator. Thus, on the above finding of fact, the Tribunal concluded that there is no income earned by Respondent-Assessee which is subject to tax but is only a reimbursement of lease line charges paid by it to international telecom operator. Accordingly, as the decision of the Tribunal is based on finding of fact, we see no reason to entertain Questions (4) and (5). 6. So far as Question (6) is concerned, the Counsel for the parties state that the issue ..... X X X X Extracts X X X X X X X X Extracts X X X X
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