Assessee is  an Indian software development company. Assessee sub-contracted its onsite overseas work to its subsidiary in China and made payment of sub-contracting charges to said subsidiary.  Assessing Officer held that payments made to subsidiary in China was liable for tax deduction under section 9(1)(vii) as fees for technical services (FTS) in view of retrospective amendment to section 9 by Finance Act, 2010 and substitution of Explanation to said section.  High court  held that substitution had taken place in Finance Act, 2010 which was effective from 2011-12, thus, same would not apply to assessee during relevant years. Accordingly the  assessee is  not liable to deduct tax at source on payments made by it to its subsidiary in China. Special leave petition filed against said order of High Court is dismissed was to be dismissed  as there is gross delay of 296 days and also on merits. (AY. 2009-10, 2010-11)