Following the order of Tribunal for earlier year the Tribunal held that section 44BBB per se could not be made applicable in the case, that the contract is not artificially split for gaining any tax advantage as alleged by the Revenue, that there is no business connection of the assessee in India, that there did not exist a fixed place permanent establishment or construction permanent establishment of the assessee in India, and that, therefore, the addition made by the Assessing Officer is deleted. Levy of interest under S.234B is consequential in nature.(AY.2020-21)
GE Hydro France v. Dy. CIT (IT) (2024)116 ITR 42 (SN)(Delhi)(Trib)
S. 9(1)(i) : Income deemed to accrue or arise in India-Business connection-Non-Resident-Dependent agent permanent establishment-Offshore supply of equipment-No fixed place-Addition under section. 44AB is deleted-Interest is consequential in nature-DTAA-India-France [S. 444BBB 234B, Art. 5]