|
Tax Publishers
Taxability of management fees, whether it
"makes available " something to be taxed as FTS under Into-Singapore
DTAA Article 12(4)(b).
Facts:
Assessee an international freight forwarding and logistics
company had rendered management services of various types to its AE in India.
It was claimed exempt under the Indo-Singapore DTAA. It was the case of the
revenue that these were taxable as royalty/FTS under the Indo-Singapore DTAA
Article 12(4). On appeal the CIT(A) held that Management Support Services and Management
Support, Finance and Treasury functions, Information Technology Support, Human
Resources and Administrative Support and Legal Support all did not make
available any technology to be taxed as FTS under the DTAA. But the services of
Marketing and Sales Operations and Standardization were held to be making
available technology/process which was held taxable under the DTAA. On
appeal by the revenue and by the assessee for 5 assessment years
2010-11/2011-12/2012-13/2013-14/2014-15 -
Held against the revenue that the management services did
not make available any technology to be taxable under the Indo-Singapore DTAA
Article 12(4(b).
Ed. Note: The
documentation provided by the assessee in the form of detailed email
communication etc. is worth noting.
Case: DCIT v. Ceva
Asia Pacific Holdings Co. Pte. Ltd. 2023 TaxPub(DT) 6207 (Del-Trib)
|