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TMI Blog2017 (1) TMI 810X X X X Extracts X X X X X X X X Extracts X X X X ..... r of Income Tax (Appeals)-4 and Assessing Officer has committed mistake in treating the salary earned for services rendered in Indonesia as income taxable in India, when the appellant worked at Indonesia (Out of India) for more than 182 days in a given financial year and that the same is accepted by both the authorities. 2. In the facts and circumstances of the case and law applicable thereto, the Commissioner of Income Tax (Appeals)-4 has committed mistake in accepting the submission made by the counsel of assessee as admission made by the assessee himself. 3. In the facts and circumstances of the case and law applicable thereto, the Commissioner of Income Tax (Appeals)-4 has committed mistake in accepting the submission made by the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... m of tax free income of Shri C.M. Singh, due to his NRI status is withdrawn. Though there is NRI status for him but it is not possible to produce any documents filed with Tax Authorities of Indonesia The bifurcation of Salaries received in India and Indonesia was done as per his appointment letter, entries in his passport of stay out of India and monthly salary received by him. The claim of tax free income shown in the return, may be disallowed and taxed accordingly. The income figures were shown correctly in the return by the assessee under the assumption that the NRI status makes his income tax free. And never claimed that he has paid any taxes outside country. The TDS is also properly on his salary. Considering the facts and cir ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s been deducted on the salary. 4.2 The provisions of Sec. 9 deals with income deemed to accrue to arise in India. The provisions of Se. 9 (1)(ii) & (iii) deal with: "(ii) income which falls under the head "Salaries", if it is earned in India. [Explanation> For the removal of doubts, it is hereby declared that the income of the nature referred to in this clause payable for _ (a) Service rendered in India; and (b) The rest period or leave period which is preceded and succeeded by services rendered in India and forms part of the service contract of employment, Shall be regarded as income earned in India;] (iii) income chargeable under the head "Salaries" payable by the Government to a citizen of India for service outside I ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... sessee voluntarily offered income for taxation to the extent of Rs. 10 Lacs to avoid any further scrutiny by the AO then it could be acted upon at its face value without further probe. The Hon'ble High Court held that the entire exercise by the AO was to determine the income of the assessee whereupon tax liability is automatically fixed in terms of the rates as provided by the Finance Act. The Hon'ble Court held that if an assessee himself voluntarily offered income for taxation then there is nothing else for AO to probe as the assessee himself is volunteering to offer the amount as his income. 5.0 Accordingly, relying on the ratio of the above mentioned judgment, I am confirming the addition made by the AO. The grounds of appeal f ..... X X X X Extracts X X X X X X X X Extracts X X X X
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