Search Results Page

Search Results

1 - 6 of 6 (0.75 seconds)
Man Industries (India) Limited, Mumbai vs Dcit ,Central Range -7 (2), Mumbai on 28 October, 2022 cites

Commissioner Of Income-Tax vs Standard Polygraph Machines Pvt. Ltd. on 18 November, 1998

In this regard, the co-ordinate bench has followed the decision rendered by Hon'ble Madras High Court in the case of Standard Polygraph Machines (P) Ltd (supra). In the above said decision, the Hon'ble Madras High Court held that the TDS liability borne by the assessee shall form part of the consideration. The decision rendered by Hon'ble Madras High Court is extracted below:-
Madras High Court Cites 2 - Cited by 14 - R J Babu - Full Document

Commissioner Of Income-Tax, Tamil ... vs Festo Elgi Pvt. Ltd. on 20 March, 1980

3. This Court in the case of CIT v. Festo Elgi (P.) Ltd. [1981] 129 ITR 4991, has held that the technical know-how supplied to the assessee constitutes tools for carrying on the business of the assessee and forms part of the capital assets and, therefore, depreciation and development rebate was allowable on the amount paid to the foreign collaborator. The revenue has not produced before us the terms of the agreement entered into between the collaborator and the assessee and we must, therefore, accept what has been stated by the Tribunal. The Tribunal has held that the amount paid by the assessee as income-tax on the amount paid to the foreign collaborator was only in discharge of the liability of the collaborator which the assessee had undertaken to pay as part of the agreement entered into with the foreign collaborator for receiving the technical know-how under the agreement. The amount so paid as tax has been held to be an amount 9 M an In d u s t r i e s ( In d i a ) L i m i te d payable by virtue of the terms of the agreement between the collaborator and the assessee. Had the collaborator not been assured of the assessee's undertaking the liability, the collaborator would have charged higher fee to cover the liability for taxes. It is only on the assurance of the assessee that the liability will be met by the assessee, that the collaborator had agreed to receive the sum specified in the agreement. The Tribunal was right in its view that the amount so paid by the assessee was only in discharge of a liability which it had undertaken in terms of the agreement entered into between the assessee and the collaborator and it, therefore, forms part of the consideration for the agreement relating to know- how."
Madras High Court Cites 4 - Cited by 10 - Full Document
1