S. 9(1)(vi) : Income deemed to accrue or arise in India-Royalty-Amounts paid by resident Indian end-users/distributors to non-resident computer software manufacturers/suppliers-Consideration for resale/use of computer software through EULAs/distribution agreements-Not payment of royalty for use of copyright in computer software-Not liable to deduct tax at source-DTAA-India-USA. [S. 9(1)(vii)),195(2), 260A Art. 12]
S 9(1)(vi) : Income deemed to accrue or arise in India-Royalty-Fees for technical services-High Court held that if rate of tax applicable under DTAA is lower than 20 per cent tax rate as prescribed under section 206AA, TDS has to be deducted at such lower rate even if non-resident deductee fails to furnish its PAN-DTAA-India. [S. 9(1)(vii), 90, 206AA, Art. 12]
S. 9(1)(vi) : Income deemed to accrue or arise in India-Royalty-Fees for technical services-High Court held that if rate of tax applicable under DTAA is lower than 20 per cent tax rate as prescribed under section 206AA, TDS has to be deducted at such lower rate even if non-resident deductee fails to furnish its PAN-DTAA-India-China-Delay of 255 days in filing SLP-Delay is not satisfactorily explained-SLP is dismissed. [S. 9(1)(vii), 90, 206AA, Art. 12]
S. 9(1)(vi) : Income deemed to accrue or arise in India-Royalty-Payment to Non-Resident telecommunication operators for provision of bandwidth and inter-connectivity usage-Not royalty-Not liable to deduct tax at source-Expansion of definition of royalty inserted later-Assessee cannot be expected to foresee future amendment at time of payment in earlier assessment years-Jurisdiction-No jurisdiction to tax income arising from extra-territorial source-Double Taxation Avoidance Agreement-Sovereign document between two countries-Applicable in Proceedings under Section 201 of the Act-DTAA-India-Belgium-SLP of Revenue is dismissed on account of delay of 222 days and also on merits.[S. 195, Art. 136]
S. 220 : Collection and recovery – Assessee deemed in default – Modes of recovery -Pendency of appeal before CIT(A)-Recovered more than 20 percent of demand – Revenue is directed to refund excess amount recovered from the bank .[ S. 226 , Art. 226 ]
S. 36(1)(iii) :Interest on borrowed capital – Advance of interest-free loans to its subsidiary – Commercial expediency – Sufficient interest-free funds – Order of Tribunal deleting the addition is affirmed – No substantial question of law .[ S.260A ]
S. 254(1) : Appellate Tribunal – Duties- Survey – Revised return – Barred by limitation- Deletion of addition- Matter remanded to the file of the Assessing Officer to assess original return of income .[ S.133A, 139 (5), 260A ]
Advocate Act,1961
S. 24:Persons who may be admitted as advocates on a State roll- Duties of advocate – Production of evidence – Party cannot be penalised for fault pf counsel – One more opportunity is granted to produce evidence – One more opportunity was granted to plaintiff to adduce evidence subject to payment of costs of Rs .5000 .-
Every lawyer is expected to keep in mind the fact that he is also an officer of the Court and judicial system is based upon co operation of lawyers – It is also expected from the concerned lawyers of parties to positively remain present before Court on the date given by the trail court . However , if the lawyer is not in a position to remain present , he shall make alternative arrangement for proceedings of the case in order to avoid inordinate delay . [Civil Procedure Code , 1908 , O.18 R. 24 ]
S. 153C : Assessment – Income of any other person – Search – On money – Six assessment years – Date of search – Date of receipt of seized material – Relevant assessment year -Search was conducted prior to the Finance Act , 2017 – Search was conducted before the Finance Act , 2017 , power to assess block period of ten years could not be attracted in case of a search which had taken place prior to 1-4-2017- Satisfaction note for the asessee being a non -searched party in AY. 2018 -19 – Order passed is beyond permissible period of six years – Assessment order for the Assessment year 2011 -12 is quashed . [ S. 69A, 132 , 153A,]
S.87A:Rebate of income -tax in case of certain individuals – New tax regime – Tax on income of individuals and Hindu undivided family – Rebate u/s 87A is substantive right which cannot be deprived by procedural changes such as changes in the utility software made by the department – The Court has directed the CBDT to extend the date of filing of return of income of AY. 2024-25 from 31 st December 2024 at least up to 15 th January 2025 by forthwith issuing a notification u/ s 119 of the Income -tax Act , 1961 so that the assesses can file a belated /revised return and claim rebate u/s 87 A in such return – The PIL is listed for hearing on 9 th January 2025 . [S.115BAC, 119,139(1), 139(4) , Art. 226 ]