sitemapHome | Registration | Job Portal for CA's | Expert Exchange | Currency Converter | Post Matrimonial Ads | Post Property Ads
News shortcuts: From the Courts | News Headlines | VAT (Value Added Tax) | Placements & Empanelment | Various Acts & Rules | Latest Circulars | New Forms | Forex | Auditing | Direct Tax | Customs and Excise | ICAI | Corporate Law | Markets | Students | General | Mergers and Acquisitions | Continuing Prof. Edu. | Budget Extravaganza | Transfer Pricing | GST - Goods and Services Tax
Latest Expert Exchange
News Headlines »
 5 things you should not forget while filing income tax return
 10 Easy Steps to File ITR 1 Online
 How to e-verify income tax return?
 What to do when you receive a notice from the tax department
 How to use your Form 16
 Which ITR form applies to you for financial year 2017-18?
 Income tax returns filing form-2 released; should you use it? Find out
  Are you planning to file ITR 1 form? here's how to do it Income Tax Return (ITR) filing
 30 LPA-Opening Financial Controller
 ITR form 2 in java release by CBDT for return filing by individuals
 How to file your income tax return using ITR Form-1 Income Tax efiling for AY 2018-19

Delhi HC: Exempts income tax on transit charges of Telecom operators
November, 04th 2008

Delhi High Court has exempted private telecom operators from paying Income tax on the Transit Fee paid by them to the state-owned telecom companies which do the routing of calls for their subscribers.

A bench comprising Justice B D Ahmed and Justice Rajive Shakdhar said telecom companies are not liable to pay Income tax on the transit charges as it is a computerised service and not a technical one.

The bench overruled the contention of Income tax department which said the services provided to cellular companies come within the ambit of technical services, which is taxable under the Income Tax Act.

Giving a reprieve to telecom companies, the Bench held that the services do not come under the ambit of technical services as there is no human element involved in the whole process and it is done by machines.

The facilities provided by MTNL and other companies for interconnection/ port access is one which is provided automatically by machines. It is independently provided by the use of technology and that too sophisticated technology but that des not mean that MTNL and other companies which provide such facilities are rendering any technical service under the Income tax act, the bench said.

The expression Technical service would have reference to only technical services rendered by a human, it would not include any service rendered by machines or robots," the court said.

Home | About Us | Terms and Conditions | Contact Us
Copyright 2018 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Binarysoft Technologies - Privacy Policy

Transfer Pricing | International Taxation | Business Consulting | Corporate Compliance and Consulting | Assurance and Risk Advisory | Indirect Taxes | Direct Taxes | Transaction Advisory | Regular Compliance and Reporting | Tax Assessments | International Taxation Advisory | Capital Structuring | Withholding tax advisory | Expatriate Tax Reporting | Litigation | Badges | Club Badges | Seals | Military Insignias | Emblems | Family Crest | Software Development India | Software Development Company | SEO Company | Web Application Development | MLM Software | MLM Solutions