Expenses Reimbursement on cost to cost basis cannot be included in Fee for Technical services

With regard to the tax ability of FTS on gross basis, it has been fairly admitted by the Ld. Counsel of the assessee that there is no dispute on the proposition that FTS has to be taxed on gross basis. However, the issue that arise here for our consideration is whether the expenses incurred on cost to cost basis will also be included in the amount of FTS. We find that this controversy has now been put to rest by Honourable Supreme Court by way of its latest judgement in the case of DIT Vs A.P. Moller Maersk 392 ITR 186 (SC). Re

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