Tribunal held that\u00a0 State (local) taxes paid by assessee in countries having DTAA with India which are not eligible for relief under s. 90 or 91 do not attract disallowance under s. 40(a)(ii)- Matter remanded to the Assessing Officer for verification\u00a0 . Relied\u00a0 Reliance Infrastructure P. Ltd. v. CIT (2017)\u00a0 390 ITR 271 (Bom) (HC) ,\u00a0 Not followed\u00a0\u00a0 Dy. CIT v. Tata sons Ltd. (2010) 48 DTR 321\u00a0 (Mum) (Trib ) . Tribunal also held that the commission paid outside India\u00a0 for service rendered out side India , not liable to deduct tax at source . \u00a0As regards purchase of software the matter remanded to the Assessing Officer to ascertain\u00a0 the facts and decode accordance with the ( AY. 2009 – 10 )<\/p>\n
Tribunal held that\u00a0 State (local) taxes paid by assessee in countries having DTAA with India which are not eligible for relief under s. 90 or 91 do not attract disallowance under s. 40(a)(ii)- Matter remanded to the Assessing Officer for verification\u00a0 . Relied\u00a0 Reliance Infrastructure P. Ltd. v. CIT (2017)\u00a0 390 ITR 271 (Bom) (HC) ,\u00a0 Not followed\u00a0\u00a0 Dy. CIT v. Tata sons Ltd. (2010) 48 DTR 321\u00a0 (Mum) (Trib ) . Tribunal also held that the commission paid outside India\u00a0 for service rendered out side India , not liable to deduct tax at source . \u00a0As regards purchase of software the matter remanded to the Assessing Officer to ascertain\u00a0 the facts and decode accordance with the ( AY. 2009 – 10 )<\/p>\n","protected":false},"excerpt":{"rendered":"
S. 40(a)(ii) : Amounts not deductible – Rates or tax \u2013 Tax paid abroad – State (local) taxes paid by assessee in countries having DTAA with India which are not eligible for relief under s. 90 or 91 do not attract disallowance under s. 40(a)(ii)- Matter remanded to the Assessing Officer for verification \u2013 Commission payment outside India \u2013 Not liable to deduct tax at source \u2013 Purchase pf software \u2013 Matter remanded . [ S. 2(43 ), 9 (1) (vii) 37 (1), 40 (a(ii), 90, 91, 195 ]<\/p>\n","protected":false},"author":3,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"jetpack_post_was_ever_published":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[21],"tags":[],"class_list":["post-19888","post","type-post","status-publish","format-standard","hentry","category-income-tax-act"],"acf":[],"jetpack_featured_media_url":"","jetpack_shortlink":"https:\/\/wp.me\/p9S2Rw-5aM","jetpack-related-posts":[],"jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/19888","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/comments?post=19888"}],"version-history":[{"count":1,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/19888\/revisions"}],"predecessor-version":[{"id":19889,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/19888\/revisions\/19889"}],"wp:attachment":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/media?parent=19888"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/categories?post=19888"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/tags?post=19888"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}