TMI Blog2016 (4) TMI 1323X X X X Extracts X X X X X X X X Extracts X X X X ..... he assessee and further, salary was continued to be paid under home location salary plan. As the salary was paid to assessee’s home location bank, TDS was rightly deducted by IBM India Pvt. Ltd. Accordingly, Form 16 was issued to the assessee. - Decided against the assessee. - ITA No. 353/Mds/2016 - - - Dated:- 29-4-2016 - SHRI N.R.S.GANESAN, JUDICIAL MEMBER AND SHRI CHANDRA POOJARI, ACCOUNTANT MEMBER For the Appellant: Shri Shailesh Kumar, Advocate For the Respondent: Shri Murali Mohan, JCIT ORDER PER CHANDRA POOJARI, ACCOUNTANT MEMBER This appeal by the assessee is directed against the order of the Commissioner of Income-tax(Appeals) dated 4.11.2015. 2. The assessee has raised the following grounds: 1. Th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... mbai. According to the assessee, foreign allowances amounting to ₹ 32,25,165/- were received by the assessee outside India and duly submitted copy of his Indian Citibank account before the lower authorities to substantiate that foreign allowances were not received in his Indian bank account, inter-alia along with other factual details and documents in support of his claim. However, the Commissioner of Income-tax(Appeals) alleged that such foreign allowances were received in India. Hence, the above documents are filed to clarify the correct facts. 5. We have gone through the petition. We find that there exists reasonable cause for not furnishing these documents before the lower authorities. Accordingly, these additional evidence ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ation salary plan as per which salary would be paid in home location country to assessee s home location bank. iii) IBM India Ltd. has deducted TDS on the entire salary amount paid to the assessee during the Financial Year 2010-11 and issued Form 16 to the assessee. iv) Though salary is received by the assessee for services rendered outside India, the services are utilised by the Indian company for generation of income in India. v) Salary of the assessee is credited to Bank Account of the assessee in INR in India. Hence the income is deemed to be received in India which is taxable as per section 5(2) of the Act. Against this, the assessee went in appeal before the CIT(Appeals), who confirmed the order of the AO. Against this, t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... therefore, we confirm the order of he learned CIT(A). 8. On the other hand, the ld. DR, submitted that the question, whether the income on account of allowances accrued or arose in India is a question of fact, which has to be decided on the basis of assignment letter issued by IBM India Pvt. Ltd. for the assessee s assignment at Netherlands, which is placed on record at pages 46 to 58 of the paper book. According to the ld. DR, the assessee remained as an employee of IBM India Pvt. Ltd. and the salary still continued to be administrated under home located salary plan as per which the salary would be paid in home location country to assessee s home location bank, that is the reason IBM India Pvt. Ltd. had deducted TDS on entire salary pa ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ccount No.009040101361652 for the period from 1.4.2010 to 31.3.2011. However, it is an admitted fact that the assessee has remained as an employee of IBM India Pvt. Ltd. and the law of land would remain applicable to the assessee and further, salary was continued to be paid under home location salary plan. As the salary was paid to assessee s home location bank, TDS was rightly deducted by IBM India Pvt. Ltd. Accordingly, Form 16 was issued to the assessee. 9.1 It is also an admitted fact that the salary received by the assessee for the services rendered outside India and the services are utilised in Indian Company for generation of income in India. It is also an admitted fact that the salary was credited in bank account as INR. Contrary ..... X X X X Extracts X X X X X X X X Extracts X X X X
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