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TMI Blog2023 (10) TMI 1181X X X X Extracts X X X X X X X X Extracts X X X X ..... r system. IT is mainly kind of help desk and trouble- shooting services which are required on a regular basis. For operational support system also, it mainly provides for check- list for project plans, safety work and inspection plans etc. Similarly, for marketing, the assessee provides for e- marketing through its website and maintaining it, printing and publishing brochures which can be distributed to its potential clients. It also helps VOIPL to obtain certificate of approval from concerned organizations and obtained the contracts on the regular basis. Regarding quality health and safety environment services, the assessee merely conducts internal audits at regular intervals so that proper adherence to such quality standards and procedures are valid/ should remain valid. Similarly, in the estimating and engineering services and other services also, the assessee is mainly providing tender process, helping and preparing (estimates) and bids and plan consisting in local performance and other guarantees to the client of VOIPL etc. For rendering of these services, there is no element of imparting any know how or there is transfer of any knowledge, skill or experience. Thus, we ho ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... for the assessee submitted that this issue stands covered by series of decisions of the Tribunal in assessee s own case right from A.Y. 2009-10 to 2015-16. 5. The ld. DR though admitted that issue stands covered by the earlier decisions of the Tribunal, however, he relied upon the order of the ld. AO. 6. After considering the relevant finding given in the impugned order as well as material referred to before us, the brief facts in the background of the case are that the assessee is a company incorporated in the Netherlands and is an international dredging contractor The assessee filed its Return of Income for the said AY on 31/10/2017 declaring a business loss of Rs. 6,43,325/-. With an objective to achieve consistency of approach and economies of scale for the various group entities across the globe, the assessee provides ongoing assistance and support in the field of operations, quality, health safety, information technology, estimating and engineering marketing, administration, personnel etc to all its group affiliates 7. In this regard, Van Oord India Private Limited (VOIPL), a subsidiary of VODMC in India, has entered into a service agreement dated 01/04/2004 with ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nts on projects - Compliance with environmental laws 4 Marketing - Providing appreciation certificates received from global clients which assist in advertising and winning contracts by getting an edge over the competitors - Carrying out marketing at international trade fairs - Updating and maintaining the website for Van Oord group - Printing and publishing brochures on international assignments handled and sophisticated dredgers used 5 Estimating and Engineering - Assistance in cost estimation for the project - Advice and assistance to determine and increase production on the project. - Assistance in increasing efficiency and productivity of the project. - Regular access to research and other material available on the intranet which assists in estimating and engineering 6 Personnel and Organization, Administration and Legal - Providing training to the personnel of VOIPL by VODMC BV - Guidance on employment to be followed for staff 9. Since the management servi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... onment, estimating and engineering and personal and organization, administration and legal services, it has been held that there is no imparting of any kind of knowledge, skill or experience by way of information concerning industrial, commercial or scientific which is made available to VOIPL. For instance, assessee has stated that, information technology services are provided for use of group companies computer system where IT teams provide manual general information without providing any information or method to design or create a computer system. IT is mainly kind of help desk and trouble- shooting services which are required on a regular basis. For operational support system also, it mainly provides for check- list for project plans, safety work and inspection plans etc. Similarly, for marketing, the assessee provides for e- marketing through its website and maintaining it, printing and publishing brochures which can be distributed to its potential clients. It also helps VOIPL to obtain certificate of approval from concerned organizations and obtained the contracts on the regular basis. Regarding quality health and safety environment services, the assessee merely conducts inter ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... in India: Assessment year Appeal no. Date of order 2005-06 ITA no 495/Mum/2016 28 February 2018 2007-08 ITA no. 496/Mum/2016 2010-11 ITA no 4136/Mum/2016 5 September 2019 2011-12 ITA no 2029/Mum/2016 31 May 2019 2012-13 ITA no. 1382/Mum/2017 15 July 2022 2013-14 ITA no. 6140/Mum/2017 10 November 2017 2014-15 ITA no 6141/Mum/2017 2015-16 ITA no. 6726/Mum/2018 24 December 2020 Recently also, the Tribunal in assessee s own case for AY 2018-19 (ITA no. 672/Mum/2022) and AY 2019-20 (ITA no. 1980/Mum/2022) has passed order dated 31/03/2023 relying upon the aforesaid orders and allowing the appeal in favour of the Assessee. 19. It is seen that the said service agreement continues in AY 2017-18 as well. Also, t ..... X X X X Extracts X X X X X X X X Extracts X X X X
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