Concessional tax rate on gross receipt basis not allowable if Assessee claims exclusion of reimbursements

GRI Renewable Industries S.L. Vs ACIT (IT) (ITAT Pune) It is seen that the assessee offered its income from ‘royalties’ and ‘fees for technical services’ on gross basis, albeit at the concessional rate of tax. The assessee claimed that a sum of Rs.35.67 lakh was received as reimbursement of expenses which was not liable to be included in the gross receipts. Primarily, we find that the basic details about the nature of expenses etc. are not forthcoming. It is not known as to whether such expenses claimed to be reimbursed were in furtherance of the rendering of ‘fees for technical serv...