| COURT: | ITAT Mumbai |
| CORAM: | G. Manjunatha (AM), Mahavir Singh (JM) |
| SECTION(S): | 9(1)(vii), Article 12, Article 5, Article 7, DTAA |
| GENRE: | International Tax |
| CATCH WORDS: | Fees for technical services, India-Singapore DTAA, management services |
| COUNSEL: | Sunil Moti Lala |
| DATE: | October 12, 2018 (Date of pronouncement) |
| DATE: | October 31, 2018 (Date of publication) |
| AY: | 2012-13 |
| FILE: | Click here to view full post with file download link |
| CITATION: | |
| S. 90(2): If a non-resident assessee derives income from multiple sources in India, it is entitled to adopt the provisions of the Act for one source and the DTAA for the other source, whichever is more beneficial to it, even though the payer is common for both sources | |
As per Section 90(2), the assessee is entitled to claim benefits of the Double Tax Avoidance Agreement to the extent the same are more “beneficial” as compared to the provisions of the Act. While doing so, in cases of multiple sources of income, an assessee is entitled to adopt the provisions of the Act for one source while applying the provisions of the DTA for the other. This view of ours is supported by the order of this ITAT Bangalore Bench in the case of IBM world Trade Corporation v ADIT (IT) (2015) 58 taxmann.com 132 (Bang) and IMB World Trade Corpn v DDIT (IT) (2012) 20 taxmann.com 728 (Bang)
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