This Digest of case laws is prepared by KSA Legal and AIFTP from judgements reported in BCAJ, CTR, DTR, ITD, ITR, ITR (Trib), Chamber's Journal, SOT, Taxman, TTJ, BCAJ, ACAJ, www.itatonline.org and other journals
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S. 115WB : Fringe benefits – Sales promotion and dealers conference –No nexus with employer and employee relationship-Not assessable as Fringe benefits[ S.115WB(2)(c ) 115WB (2) (d) ]

CIT (LTU) v. Toyota Kirloskar Motor Pvt. Ltd( 2020) 194 DTR 297/ 317 CTR 244 / (2021)430 ITR 65 / 278 Taxman 100(Karn)(HC)

S. 10 (23C): Educational institution- School- Exemption cannot be denied for lack of independent memorandum , article , bye laws etc .[ S.10 (23C) (vi) ]

CIT v. Sengunthar Matriculation Higher Secondary School ( 2020 ) 121 taxmann.com 338 ( 2021) 277 Taxman 252 ( Mad) (HC) Editorial : SLP of revenue is dismissed , CIT v. Sengunthar Matriculation Higher Secondary School ( 2021) 281 Taxman 367 ( SC)

S. 10 (23C): Educational institution-Rejection of application – Limitation – Directed to decide on merit [ S. 10(23C)(vi), Art . 226 ]

Rajamahendri Educational Society v. UOI (2020) 121 taxmann.com 236 / (2021 ) 431 ITR 217/ 276 Taxman 18/ 204 DTR 99/ 321 CTR 616(AP) (HC)

S. 45 : Capital gains – Sale of shares – Joint venture in India – Shell company – Selling part of share holding – Liable to tax in India – Inter -passing was to avoid tax in India- DTAA- India – Mauritius [ Art, 13(4)]

Bid Services Division ( Mauritius ) Ltd , in Re ( 2020) 275 Taxman. 244/ 114 taxmann.com 434 ( AAR) (Mum)

S. 45 : Capital gains – Sale of shares – BD Mauritius – Not taxable in India – DTAA-India – Mauritius [ Art, 13]

Becton Dickinson ( Mauritius) Ltd , In re ( 2019) 110 taxmann.com 291 ( AAR) ( Delhi )

S. 9(1(vi) : Income deemed to accrue or arise in India – Royalty – Right to use scientific or commercial equipment – Not royalty -Not liable to tax – DTAA- India – USA [ Art. 12(3) ]

CIT (IT) v. Intelsat Corporation ( 2020) 113 taxmann.com 596 ( Delhi ) (HC) Editorial: SLP is granted to the revenue , CIT (IT) v. Intelsat Corporation ( 2020) 113 taxmann.com 597 / 269 Taxman 369 (SC)

S. 9(1(vi) : Income deemed to accrue or arise in India – Royalty – Satellite communication services – Not taxable in India- DTAA-India -USA [ Art. 12 ]

CIT(IT) v. Intelsat Corpn .( 2020) 119 taxmann.com 282 ( Delhi) (HC) Editorial: SLP is granted to the revenue , CIT(IT) v. Intelsat Corpn .( 2020) 274 Taxation 216/ 119 taxmann.com 283 (SC)

S. 9(1)(i) : Income deemed to accrue or arise in India – Business income – Royalty -Lease line charges -Reimbursement – Not liable to be assessed as business income or royalty- DTAA-India -UK . [ S.9(1)(vi), Art, 7 ,12 ]

CIT(IT) v. WNS Global Services ( UK) Ltd ( 2020) 117 taxmann.com 143 ( Bom) (HC) Editorial: SLP of revenue is dismissed , CIT v. WNS Global Services ( UK) Ltd ( 2020) 272 Taxman 431 / 117 taxmann.com 144 (SC)

S. 9(1)(vi) : Income deemed to accrue or arise in India – Royalty – Import of software -Held to be royalty .

Infineon Technologies India ( P) Ltd v .Dy CIT (2019) 112 taxmann.com 401 ( Karn) (HC) Editorial : SLP is granted Infineon Technologies India ( P) Ltd v .Dy CIT ( 2020) 269 Taxman 52 / 113 taxmmann.com 167 (SC)

S. 9(1)(vi) : Income deemed to accrue or arise in India – Royalty – Licence embedded software – Not royalty – Assessable as business income [ S.28(i) ]

CIT ( IT) v. Bently Nevada LLC ( 2020) 114 taxmann.com 101 ( Delhi ) (HC) Editorial: SLP of revenue is dismissed CIT ( IT) v. Bently Nevada LLC ( 2020) 270 Taxman 95 / 114 taxmann.com 102 (SC)