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Chambal Fertilisers And Chemicals ... vs Acit, Kota on 25 September, 2017

2. DCIT v. Calderys France (2017) 84 Taxamann.com 301(Pune-Trib) Thus, keeping in view the decision of the Special Bench of the tribunal in the case of Nagarjuna Fertilizers and Chemicals Limited(supra) which is binding on us , we do not find any infirmity in the order of learned CIT(A) in directing AO to verify whether the payees are entitled for benefits of DTAA and also whether they hold the tax-residency certificate as is required by the 7 I.T.A. No. 6424/Mum/2016 provisions of the 1961 Act , which directions of learned CIT(A) we affirm/sustain . It is also on record that the assessee has in-fact deducted income-tax @22.66% on all these foreign remittances while rate prescribed under the provisions of DTAA with France is lower @10% than the rate prescribed under provisions of Section 115A for making payments in the nature of technical fee. We affirm the order/directions of the learned CIT(A) vide appellate order dated 04-07-2016 so is relevant for the previous year relevant to the impugned assessment year under consideration before us and hold that under the facts and circumstances of the case the assessee cannot be held to be an assessee in default within meaning of Section 201(1) and 201(1A) of the 1961 Act. We order accordingly.
Income Tax Appellate Tribunal - Panji Cites 11 - Cited by 6 - Full Document
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