Section 148 Reassessment Invalid Where Full Reasons Were Not Supplied & Sole Basis Was Retracted: Bombay HC

PCIT Vs Jas Trading Pvt. Ltd. (Bombay High Court) The Bombay High Court considered an appeal filed by the Revenue challenging an order of the Income Tax Appellate Tribunal (ITAT) dated 6 July 2018. The Revenue contended that the Tribunal had erred in holding that payments made by the assessee for software licences were not royalty under Section 9(1)(vi) of the Income Tax Act, 1961 or Article 12 of the India–USA Double Taxation Avoidance Agreement (DTAA), and that IT support charges such as internet charges, email facility and backup support services could not be treated as royalty or fees fo...