Law:

Section:

Section 17(2) of the Income-tax Act, 1961 - Salaries - Perquisites - Tribunal held that having regard to terms and conditions of agreement between Indian company and foreign company, assessee, a foreign technician, served in India not as employee of Indian company but in capacity of employee of foreign company - It also held that salaries on tax on tax basis should not be grossed up for purpose of inclusion of tax as perquisite in hands of assessee - Whether order of Tribunal was justified - Held, yes FACTS The Tribunal held that having regard to the agreement between the Indian company and the foreign company, the assessee, a foreign technician, served in India not as an employee of the Indian company, but in the capacity of an employee of the foreign company. If further held that the salaries on tax on tax basis was not required to be grossed up for the purpose of inclusion of tax as perquisite in the hands of assessee. On reference : HELD In the light of decision of the same High Court in N. Sciandra v. CIT [1979] 118 ITR 675, the order of the Tribunal was justified. Note: The decision is in favour of the assessee. CASE REVIEW N. Sciandra v. CIT [1979] 188 ITR 118 ITR 675 (Cal.) followed and relied upon. CASES REFERRED TO N. Sciandra v. CIT [1979] 118 ITR 675 (Cal.). Sunil Mukherji for the Applicant. R.N. Datta for the Respondent. JUDGMENT Dipak Kumar Sen, J. - On an application of the Revenue under section 256(1) of the Income-tax Act, 1961, the following questions have been referred by the Tribunal as questions of law arising out of its order for the opinion of this court: "1.…

Deprecated: trim(): Passing null to parameter #1 ($string) of type string is deprecated in /home/digixyei/sldsystempk.com/view/master-layout/view_case.php on line 492