Payments for referral services cannot be termed as fees for technical services (FTS)

Facts The applicant, Real Resourcing Limited is a company incorporated in the UK and is a tax resident of the UK. The applicant provides recruitment services (the applicant places a candidate with an Indian company) and referral services (the applicant would refer potential Indian clients to a third party based in India). The applicant has an address in New Delhi –which is a virtual office wherein the applicant has rented use of the address and telephone numbers in New Delhi without any actual office space. The applicant has no physical presence in India.  Issues before the AAR The follo...