Assessee to entities resident in India is "fees for technical services"
within the meaning of Explanation 2 to Section ... rendering of any managerial,
technical or consultancy services (including the provision of
services of technical or other personnel) but does not include
consideration
also provided
financial and marketing services. Apart from the direct services, HII also
rendered some indirect administrative services. Thus, services are
rendered to several subsidiaries ... which HIAI agreed to provide data
processing services, accounting, financial and planning services,
marketing services, long term financial planning for the Assessee,
analysis of prospects
would be allowed in respect of any
interest, royalty, fees for technical services or other sum chargeable under
the Act which is payable outside India ... subscription before the 1st day of April, 1938),
royalty, fees for technical services or other sum chargeable
ITA 32/2004 Page 11 of 22
under
technical services" as used in this Article means
payments of any kid to any person in consideration for services or a
managerial, technical ... rendering of any managerial, technical or consultancy services
(including the provision of services of technical or other personnel) but
does not include consideration
delivered the judgement in Bharat Aluminium Company v. Kaiser
Aluminium Technical Services Inc. : (2012) 9 SCC 552, Part I of the Act
would not apply
Assessee for design and engineering was held to be Fees for
Technical Services (hereafter 'FTS'). Since, the Assessee had not maintained
separate books
Supreme Court in Bharat Aluminium
Company v. Kaiser Aluminium Technical Services Inc : (2012) 9 SCC
552 as well as the decision of the Division Bench ... Federation Ltd. v Singh Consultants
& Engineers (P) Ltd. , General Electric Technical Services Co.
Inc v Punj Sons (P) Ltd. and the decision
subsidiary of Cutler-Hammer, Inc.) entered into a 'Licence
and Technical Services Agreement' with BEL (then known as Cutler-
Hammer India ... said agreement indicates
that BEL had enjoyed certain benefits of technical assistance and licence
arrangement dated 04.09.1965 and the parties desired to continue the
relationship
Supreme Court in Bharat
Aluminium Company v. Kaiser Aluminium Technical Services Inc : (2012)
9 SCC 552 is applicable prospectively (to the agreements entered into after
2016 Page 3 of 6
Company v. Kaiser Aluminium Technical Services Inc. : 2012 (9) SCC
552, the Supreme Court had observed as under
