TMI Blog1982 (2) TMI 38X X X X Extracts X X X X X X X X Extracts X X X X ..... ianagar in Bihar, where steel castings are manufactured. The said petitioner has further stated that by an agreement dated 13th December, 1969, entered into between them and the said Ashoka Steels, the said petitioner was appointed as selling agents-cum-technical advisers, to handle the sale of the said Ashoka Steels in India and to render technical advice to them, for the manufacture of various products in the concerned steel foundry. Such agreement was valid for three years with effect from 1st October, 1969. It has also been stated, that by the said agreement, the said petitioner was appointed as selling agent of the products of the said Ashoka Steels throughout India, apart from having power to appoint other agents, on such terms and ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the machines of the said Ashoka Steels for providing them the necessary technical know-how for proper running of the foundry and for improving the production. Section 80MM of the I.T. Act, 1961 (hereinafter referred to " as the said Act"), was brought into the statute and/or sought to be given effect to with effect from 1st April, 1975, and the said section lays down the procedure, manner and the requirement in case of deduction in the case of an Indian company in respect of royalties, etc., received from any concern in India and the relevant provisions of the said section which would be appropriate for our consideration, are s. 80MM(1)(i) and section 80MM(2)(iv), and they are quoted hereunder: " (1) (i) The provision of technical know ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d is not for provision by you of a technical know-how within the meaning of clause (i) of sub-section (1) read with sub-section (2) of section 80MM or for rendering any services in connection with the provision of technical know-how. Although it is stated in clause (3) of para. I of the agreement that you shall render all technical assistance for the improvement of the production and quality of the steel products, no fee is payable to you for rendering any such technical assistance as per clause (4) of para. IV of the agreement. (ii) The agreement dated 30-10-72 for your appointment as technical adviser is for rendering technical assistance for the improvement of the production and quality of the steel products. The work and services to b ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... it on record that in terms of the directions by the Board the necessary particulars were supplied by the petitioner, so it was expected of the Board, to deal with them and consider such particulars in accordance with law and in the light of the observations as made and that the re would be no bar for the said petitioner to enter into agreement, (1) for having the sole selling agency, and also (2) for supplying the technical services. This rule was made ready as regards service on 29th August, 1977, and I am informed that an opposition has been filed through Mr. Samar Banerjee. Such opposition was not available in the record. Mr. Bajoria has, of course, filed his clients' reply. Let such reply be kept in the record. For the views which ..... X X X X Extracts X X X X X X X X Extracts X X X X
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