1

Commissioner (A) is not empowered to enhance income a new source of income vide 82ITR 9Trib) 176
1

It is assessee’s choice to select a method for determining FMV of shares vide 81 ITR (Trib) (SN) 78
1

No TP adjustment of trade receivables in case of a debt-free company vide 81ITR (Trib) (SN) 94
1

To accord registration as a charitable institution under income tax dominant purpose must be charitable and satisfies the conditions laid down us 2(15) vide 426ITR108 despite having non charitable ancillary objects meant to achieve the dominant purpose
1

Transactions with dubious entities is reason enough for case reopening vide 421ITR624

Payment for use of facilities or technologies or infrastructure

ByCA Gopal Nathani

Jul 14, 2022

The Bangalore ITAT in 28ITR(Trib) -OL 38 held that mere use of a facility is neither a payment for technical services nor in the nature of royalty.

This case involved web hosting , bulk mail facility/marketing services , advertising services on Facebook Amazon.

This litigation is an outcome of income tax survey. There have been Board circulars for clarification on TDS on domestic payments while there is no effective circular on foreign payments instances in the absence of which such kind of unnecessary litigations crop up even for such routine nature of transaction in the digital world.

Hope CBDT may attempt to draft few circulars explaining TDS on foreign payments.