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Scope of section 9(1)(ii) ::

Last updated: 12 September 2007

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Court :
HC

Brief :
Held by hon"ble court that since the off period followed the on period and that since assessee had to undergo training during the off period, it was clear that all that had a nexus with the services he rendered in India. Hence,salary paid during off period outside India will be taxable u/s 9(1)(ii)

Citation :
C.I.T & Another Vs. Reading & Bates Exploration Co.

Scope of section 9(1)(ii) C.I.T & Another Vs. Reading & Bates Exploration Co. 7/7/2004 (2005) 278 ITR 47(Uttaranchal) Case Fact: Whether in a contract for employment for on and off periods, salary payable to non-resident during off period outside india can be deemed to accrue in India. Decision: Held by hon"ble court that since the off period followed the on period and that since assessee had to undergo training during the off period, it was clear that all that had a nexus with the services he rendered in India. Hence,salary paid during off period outside India will be taxable u/s 9(1)(ii)