Payment for Flight Testing Services by HAL is not FTS

Hindustan Aeronautics Ltd Vs ACIT (ITAT Bangalore) ITAT held that fees paid by the assessee (HAL) to CGTM France for Payment for Flight Testing Services which includes (i) Air intake Survey (ii) Engine bay, FACEC bay and oil cooling systems (iii) Engine Accessories and FADEC vibrations (iv) Measurement of gas concentration of fire extinguishing systems and (v) Hot Fuel tests is not in the nature of fees for technical services (FTS) as mere rendering of services would not be taxable unless the person receiving the services is enabled to utilize such services on its own in the future without hav...