आयकर अपीलीय अिधकरण िद(cid:671)ी पीठ “डी”, िद(cid:671)ी

঒ी िवकास अव(cid:830)थी, (cid:586)ाियक सद(cid:735) एवं

঒ी ঍जेश कु मार िसंह, लेखाकार सद(cid:735) के सम঴

IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH “D”, DELHI BEFORE SHRI VIKAS AWASTHY, JUDICIAL MEMBER&

SHRI BRAJESH KUMAR SINGH, ACCOUNTANT MEMBER आअसं.846/िद(cid:671)ी/2025(िन.व. 2022-23)

ITA No.846/DEL/2025 (A.Y.2022-23)

Inveso Holding Company (US) Inc., C/o Invesco (india) P. Ltd., 15^th Floor, Block 6, North Tower, Divyasree Orion SEZ, Raidurgam, Serilingampally, Hyderabad, Telangana 5000032 PAN: AAECI-9027-N ...... अपीलाथ(cid:7278)/Appellant बनाम Vs.

Assisnat Commissioner of Income-Tax, International Taxation 2(1)(1), Civic Centre, Minto Road, New Delhi 110002 .....(cid:7079)ितवादी/Respondent अपीलाथ५ (cid:554)ारा/ Appellant by: S/Shri Ankul Goyal & Advitya Grover, Advocates ঋितवादी(cid:554)ारा Respondent by: Shri M.S Nethrapal, CIT-DR /

सुनवाई क(cid:7409) ितिथ/ Date of hearing : 04/08/2025 घोषणा क(cid:7409) ितिथ/ Date of pronouncement : 31/10/2025 आदशे /ORDER PER VIKAS AWASTHY, JM:

This appeal by the assessee is directed against Assessment Order dated

20.12.2024 passed u/s. 143(3) r.w.s 144C(13) of the Income Tax Act,1961(hereinafter referred to as ‘the Act’), for assessment year 2022-23.

2. Shri Ankul Goyal, appearing on behalf of the assessee submits that the solitary issue in present appeal is against the addition of Rs.54,85,23,539/- in respect of reimbursement of cost for providing IT/Support Services treated as Fee for Including Services (FIS) under Article 12 of India-USA Double Tax Avoidance Agreement (DTAA).

3. The assessee is tax resident of USA and is engaged in providing Information Technology Application Services, IT Infrastructure Services and IT Security to its Associated Enterprises (AE’s) in India and other Invesco Group Companies located Worldwide. The ld. Counsel submits that the cost incurred by the assessee for providing IT Support Services is allocated to its AE’s on the basis of allocation rationale provided in Annexure II to the Master Inter Company Services Agreement. There is no element of profit embedded in such cost recoveries. The amount received by the assessee is purely on cost to cost. The Assessing Officer (AO) has erred in treating the cost recovered by the assessee as FTS/FIS as per DTAA and held that the same are taxable in India. The ld. Counsel submits that the Master Inter Company Services Agreement was entered into between assessee and Indian Associated Enterprises i.e. Invesco India P Ltd. on 20.05.2019 and the same agreement is valid during the impugned assessment year as well. Similar, additions were made by the AO in AY 2020-21 and AY 2021-22. The assessee carried the issue in appeal before the Tribunal in ITA No.784/Del/2023. The Tribunal vide order dated 23.07.2024 deleted the said additions. In the subsequent assessment year i.e. AY 2021-22, the assessee carried the same issue in appeal before the Tribunal in ITA No.3225/Del/2023, the Coordinate Bench following the decision rendered in AY 2020-21 deleted the additions vide order dated 02.04.2025. The factual matrix in the impugned assessment year is identical. The Dispute Resolution Panel (DRP) in para 4.4.2 of the directions has recorded the fact that the issues in the impugned assessment year are similar to the issues for AY 2020-21 and also takes note of the decision of Tribunal for said assessment year. The DRP upholds the additions merely for the reason that the Department is contemplating to file appeal against the order of Tribunal before the Hon’ble High Court. The ld. Counsel thus, prayers for deleting the addition made by the AO in respect of reimbursement of expenses treated it as FTS/FIS.

4. Per contra, Shri M.S Nethrapal representing the department vehemently defended the impugned order and reiterated the findings of AO. However, the ld. DR fairly accepted that the issue in instant appeal is similar to the one considered by the Tribunal in assessee’s own case in precedi