Payments received by US firm ref=”dofollow” data-ga-onclick=”Inarticle articleshow link click#Tech#href” href=”https://economictimes.indiatimes.com/topic/amazon-web-services” target=”_blank”>Amazon Web Services, from Indian entities for rendering ref=”dofollow” data-ga-onclick=”Inarticle articleshow link click#Tech#href” href=”https://economictimes.indiatimes.com/topic/cloud-computing-services” target=”_blank”>cloud computing services are not taxable as ref=”dofollow” data-ga-onclick=”Inarticle articleshow link click#Tech#href” href=”https://economictimes.indiatimes.com/topic/royalty-and-fees-for-technical-service” target=”_blank”>royalty and fees for technical service (FTS), the ref=”dofollow” data-ga-onclick=”Inarticle articleshow link click#Tech#href” href=”https://economictimes.indiatimes.com/topic/delhi-high-court” target=”_blank”>Delhi High Court held on Thursday.
A Division Bench of justices Vibhu Bakhru and Tejas Karia dismissed the income tax department’s petition holding that rendering such services by Amazon cannot be taxed either under the ref=”dofollow” data-ga-onclick=”Inarticle articleshow link click#Tech#href” href=”https://economictimes.indiatimes.com/topic/income-tax-act” target=”_blank”>Income Tax Act or the India-US Avoidance of Double Taxation and Prevention of Fiscal evasion with respect to taxes on income. “We find no merit in the…
