India: Payments on account of seconded employees not taxable as "fees for technical services" (tribunal decision)
The taxpayer was the legal and economic employer of the employees.
Not taxable as "fees for technical services" (tribunal decision)
The Delhi Bench of the Income-tax Appellate Tribunal held amounts paid by the taxpayer, an Indian company, to its UK holding company on account of seconded employees were not taxable as "fees for technical services” because the taxpayer was the legal and economic employer of the employees.
The case is: Serco India Pvt. Ltd. v. DCIT.
Read a July 2023 report [PDF 427 KB] prepared by the KPMG member firm in India
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