No TDS on commission paid to a foreign agent for service provided outside India

Evolv Clothing Company Pvt. Ltd. Vs ACIT (Madras High Court)

Conclusion: Section 40(a)(i) did not contemplate order wise commission based on the order value. Consequently, the expenditure on export commission payable to non-residents for services rendered outside India became an allowable expenditure.

Held: Assessee carried on business of export of garments. It claimed to have entered into Agency Agreements with a non-resident Italian Agent for procuring e

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