The assessee filed an application under S. 197 for the assessment year 2019-20, requesting issuance of certificate directing the Corporation to make payments without deduction of tax. The application was processed and queries were raised by the respondent to which the assessee filed its replies. After providing a hearing to the assessee and on consideration of its submissions, the respondents granted the certificate dated June 26, 2019, in the prescribed format, to the Corporation for deduction at the rate of 4 per cent. of the gross receipts. On a writ petition against the certificate dismissing the petition, that the question whether the assessee constituted a permanent establishment could not be undertaken in the enquiry having regard to the time frame permissible under law for deciding the application under section 197 of the Act. The assessee had submitted that since it was facing financial hardship as the first quarter of financial year 2019-20 had come to an end and it was yet to have the lower withholding tax certificate, the assessee (without prejudice to its legal position), was willing to offer a concession to have the certificate at the tax rate of 4 per cent. plus applicable surcharge and cess in line with the recently concluded assessment proceedings for assessment year 2016-17 in the assessee’s own case. Although the declaration was qualified, since the assessee requested the respondent for permission to deduct the tax at the rate of 4 per cent. plus applicable surcharge and cess for the entire contractual revenues, the Revenue was justified in accepting this and the assessee could not be permitted to resile therefrom, once the Department had accepted the assessee’s proposal. The certificate was valid. (AY. 2007-08 to 2015-16)