rendering
of any managerial, technical or consultancy services (including the
provision of services of technical or other personnel) but does not
include consideration ... should deduct tax
u/s.194J for technical services for the services provided "1) Support services
such as filed activations, vendor payment queries, entering
charges, exhibition expenses, advertisement, traveling expenses and software expenses are not expenses incurred in providing the technical services outside India.
ii) The Commissioner of Income ... things or computer software outside India or expenses, if any, incurred in foreign exchange in providing the technical services outside India.
9. However, there
towards professional services,
Northcourse Ltd., UAE (Rs.23,80,800) towards advisory
services and Grapevine International Services Ltd.,UK (Rs.
10,04,010) towards consultancy ... were made have any Permanent Establishment
(PE) in India and also that services were provided by the non-
residents outside India, hence the payments
parent company for using software related issues and cannot be held
as payment of fee for Technical Services and hence the TDS is not
applicable ... rendering
of any managerial, technical or consultancy58 services (including the provision of
services of technical or other personnel) but does not include consideration
rendering of any managerial, technical or
consultancy services including the provisions of services by technical
or other personnel but does not include payments for services ... Services Agreement is managerial
services. It is plain that once the expression 'managerial services' is outside the
ambit of 'fee for technical
begun or begins to manufacture or produce
articles or things or computer software during the previous year relevant to
the assessment year commencing ... deduction, in computing the total income of an undertaking, which begins
to manufacture or produce articles or things or computer software during
the previous year
computer software
(including services for development of software) outside India,
shall be deemed to be profits and gains from export of computer
software outside India ... Madras Bench in the case of
Polaris Software says that there is no software development without
technical services. There is ambiguity in the definition
right or any right
for use or right to use a computer software including granting of a licence. However,
admittedly, there has been no amendment ... India and
USA is reproduced hereunder:-
"Royalties and fees for technical services
1. Royalties or fees for technical services arising in a Contracting State
things
or computer software outside India or expenses, if any, incurred in foreign exchange in
providing the technical services outside India;
(v) "free trade ... software (including services for development of
software) outside India shall be deemed to be the profits and gains derived from the export of
computer software
rendering of any
managerial, technical or consultancy services, including the provision of
services of technical or other personnel, but does not include
consideration ... rendering of
any managerial, technical or consultancy services (including the provision
of services of technical or other personal) but does not include
consideration
