Held that export commission paid by assessee towards sales, marketing and customer support services rendered outside India by foreign agents could not be treated as Fees for technical services, therefore no disallowance under section 40(a)(i) is warranted for failure to deduct ta at source. (AY. 2017-18, 2018-19)
Western Outdoor Interactive (P.) Ltd. v. ACIT (2024) 208 ITD 608 (Mum.)(Trib.)
S. 40(a)(i) : Amounts not deductible-Deduction at source-Non-resident-Export commission-Sales, marketing and customer support services rendered outside India by foreign agents-Cannot be treated as Fees for technical services-Not liable to deduct tax at source-DTAA-India-Korea.[S.9(1)(vii): Art. 13]