Consultancy Fees Held Not Taxable Due to Failure of “Make Available” Test

Korn Ferry (US) Vs ACIT (ITAT Delhi) ‘Payments recived for providing consultancy services in absence of “make available” is not taxable in the hands of the Assessee under Article 12 of India-USA DTAA Executive Summary The Tribunal held that under Article 12 of the India USA DTAA, services can be taxed as Fees for Included Services only if they are technical or consultancy in nature and satisfy the “make available” condition. It observed that merely because the service provider uses technical expertise does not mean that technical knowledge or skill is made available to th...