{"id":5299,"date":"2012-08-02T09:29:03","date_gmt":"2012-08-02T09:29:03","guid":{"rendered":"http:\/\/itatonline.org\/archives\/?p=5299"},"modified":"2012-08-02T09:29:03","modified_gmt":"2012-08-02T09:29:03","slug":"adit-vs-bhel-ge-gas-turbine-servicing-itat-hyderabad-fees-for-routine-technical-repairs-not-assessable-as-fees-for-technical-services","status":"publish","type":"post","link":"https:\/\/itatonline.org\/archives\/adit-vs-bhel-ge-gas-turbine-servicing-itat-hyderabad-fees-for-routine-technical-repairs-not-assessable-as-fees-for-technical-services\/","title":{"rendered":"ADIT vs. BHEL-GE-Gas Turbine Servicing (ITAT Hyderabad)"},"content":{"rendered":"<table width=\"150\" border=\"0\" align=\"right\">\n<tr>\n<td><a href=\"https:\/\/itatonline.org\/archives\/?dl_id=788\" onclick=\"if (event.button==0) \r\n     setTimeout(function () { window.location = 'http:\/\/itatonline.org\/downloads.php?varname=dl_id=788&varname2=BHEL_GE_FTS.pdf'; }, 100)\" ><strong>Click here to download the judgement (BHEL_GE_FTS.pdf) <\/strong> <\/a><\/p><\/td>\n<\/tr>\n<\/table>\n<p><strong><br \/>\nFees for &#8220;routine technical repairs&#8221; not assessable as &#8220;fees for technical services&#8221;<br \/>\n<\/strong><\/p>\n<p>The assessee paid sums to foreign parties for repairing and refurbishment of equipment. The AO held that the payments constituted \u201c<em>fees for technical services<\/em>\u201d u\/s 9(1)(vii) and that the assessee ought to have deducted TDS u\/s 195 r.w.s. 201 though the assessee argued that as there was <em>no intellectual aspect<\/em> involved in the repairs and refurbishment activity, it was no assessable as \u201c<em>fees for technical services<\/em>\u201d. The CIT (A) allowed the claim. On appeal by the department to the Tribunal, HELD dismissing the appeal:<\/p>\n<blockquote><p>The activities carried out by the foreign parties involved assembly, disassembly, inspection, reporting and evaluation. These are <strong>routine maintenance repairs<\/strong> and <strong>do not involve services of technical nature <\/strong>so as to be assessable as \u201cfees for technical services\u201d u\/s 9(1)(vii). <strong>Routine repairs do not constitute \u2018FTS\u2019<\/strong> as they are merely repair works and not technical services. <strong><em>Technical repairs are different from \u2018technical services\u2019<\/em><\/strong> (<strong>Lufthansa Cargo<\/strong> 274 ITR (AT) 20 (Del) followed; <strong>Mannesmann Demag<\/strong> 26 ITD 198(Hyd) distinguished)<\/p><\/blockquote>\n<p><!--\n\n\n\n\n\n\/\/--><\/p>\n","protected":false},"excerpt":{"rendered":"<p>The activities carried out by the foreign parties involved assembly, disassembly, inspection, reporting and evaluation. These are <strong>routine maintenance repairs<\/strong> and <strong>do not involve services of technical nature <\/strong>so as to be assessable as \u201cfees for technical services\u201d u\/s 9(1)(vii). <strong>Routine repairs do not constitute \u2018FTS\u2019<\/strong> as they are merely repair works and not technical services. <strong><em>Technical repairs are different from \u2018technical services\u2019<\/em><\/strong> (<strong>Lufthansa Cargo<\/strong> 274 ITR (AT) 20 (Del) followed; <strong>Mannesmann Demag<\/strong> 26 ITD 198(Hyd) distinguished)<\/p>\n<div class=\"read-more\"><a href=\"https:\/\/itatonline.org\/archives\/adit-vs-bhel-ge-gas-turbine-servicing-itat-hyderabad-fees-for-routine-technical-repairs-not-assessable-as-fees-for-technical-services\/\">Read more &#8250;<\/a><\/div>\n<p><!-- end of .read-more --><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"jetpack_post_was_ever_published":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":"","jetpack_publicize_message":"","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":false,"jetpack_social_options":{"image_generator_settings":{"template":"highway","default_image_id":0,"font":"","enabled":false},"version":2}},"categories":[4,8],"tags":[],"class_list":["post-5299","post","type-post","status-publish","format-standard","hentry","category-all-judgements","category-tribunal"],"acf":[],"jetpack_publicize_connections":[],"jetpack_featured_media_url":"","jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/itatonline.org\/archives\/wp-json\/wp\/v2\/posts\/5299","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/itatonline.org\/archives\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/itatonline.org\/archives\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/itatonline.org\/archives\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/itatonline.org\/archives\/wp-json\/wp\/v2\/comments?post=5299"}],"version-history":[{"count":0,"href":"https:\/\/itatonline.org\/archives\/wp-json\/wp\/v2\/posts\/5299\/revisions"}],"wp:attachment":[{"href":"https:\/\/itatonline.org\/archives\/wp-json\/wp\/v2\/media?parent=5299"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/itatonline.org\/archives\/wp-json\/wp\/v2\/categories?post=5299"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/itatonline.org\/archives\/wp-json\/wp\/v2\/tags?post=5299"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}