THE Delhi bench of Income Tax Appellant Tribunal1 has held that in cases where a foreign branch of a bank has issued credit card outside India, which has been used by the card holder in India, the income in the form of fee, charges, commission received by the foreign bank is not taxable in India. This is because no income accrues or arises in India.
Menu
Credit Card Abroad !!!
Replies (2)
I think that when the customer of the bank arrives India and purchases in India then pays the same with the help of credit card, and then I think it is taxable, because he used Credit Card in India and the banker is charging commission on the purchase made in India then that amount is taxable in India.
Please give me explanation for this.
Thank you
The tribunal applied section 9(1)(v)(c) of Income Tax Act and held that in this case the debt will be deemed to be taken abroad and therefore any interest due on such debt will be deemed to accrue outside india and thus not taxable in India. The Amoun Involved was very high as as equal to Rs. 10 Crore. In case u need copy of the judgment email me at cajatinjindal @ yahoo.com
Recent Topics :
- CAPITAL GAIN REG
- Built a simple tool to automate client document fo
- Capital Gain on Sale of SRA Allotted Flat Received
- Discrepancy in Auto populated figures in GSTR1 of
- What should I do after receiving a GST Show Cause
- Discuss and Download CA Inter Question Paper Septe
- Hi experts needed some help
- Gift of Immovable Property u/s 92 of Income Tax Ac
- NSE BSE Pre-open session changes from 7 September
- Financial statements for non corporate entities
Related Topics :
CAclubindia
