IN SUPREME COURT OF INDIA CIVIL APPELLATE JURISDICTION CIVIL APPEAL NO. 1963 OF 2014 (SPECIAL LEAVE PETITION (C.) NO.31031 OF 2012) DIRECTORATE OF INCOME TAX ..APPELLANT (INTERNATIONAL TAXATION) VERSUS M/S.BLACK & VEATCH (I) P. LTD. ..RESPONDENT ORDER 1. We have heard learned counsel for parties to lis. 2. Leave granted. 3. following questions of law were raised by appellant before High Court: "i) Whether on facts and in circumstances of case and in law, Tribunal erred in holding that procurement fees of Rs.5.30 crores payable of M/s Tech Source Corporation is not liable to be taxed in India under Section 9(1)(i) or 9(1)(vii) and further erred in holding that procurement service was in nature of Commercial Services? ii) Whether on facts and in circumstances of case and in law, Tribunal erred in holding that procurement services were in nature of Commercial Services? iii) Whether on facts and in circumstances of case and in law, Tribunal erred in deleting disallowance of Rs.5.81 crore under Section 40(a)(i) of Act?" 4. In our view, questions of law raised before High Court are significant and needs to be decided by High Court considering provisions under Section 260A of Income Tax Act, 1961 (for short, "the Act"). High Court in its judgment and order has merely quoted judgment of Income Tax Appellate Tribunal in extenso without deciding substantial questions of law raised by revenue. 5. In view of above, we allow this appeal and set aside judgment and order passed by High Court. We remand matter back to High Court and request High Court to consider and decide aforesaid questions of law taking into consideration provisions of Section 260A of Act. 6. We clarify that we have not expressed any opinion on merits or demerits of case. No order as to costs. .......................J. (H.L. DATTU) .......................J. (S.A. BOBDE) NEW DELHI; FEBRUARY 10, 2014 ITEM NO.48 COURT NO.3 SECTION IIIA SUPREME COURT OF INDIA RECORD OF PROCEEDINGS Petition(s) for Special Leave to Appeal (Civil) No(s).31031/2012 (From judgement and order dated 17/01/2011 in ITA No.927/2010 of HIGH COURT OF JUDICATURE AT BOMBAY) DIRECTOR OF I.T. (INTERNATIONAL TAXN.) Petitioner(s) VERSUS BLACK & VEATCH (I) P. LTD. Respondent(s) (With office report ) Date: 10/02/2014 This Petition was called on for hearing today. CORAM : HON'BLE MR. JUSTICE H.L. DATTU HON'BLE MR. JUSTICE S.A. BOBDE For Petitioner(s) Mr.Arijit Prasad, Adv. Mr.Rahul Kaushik, Adv. Mrs.Gargi Khanna, Adv. Mrs Anil Katiyar,Adv. For Respondent(s) Mr.Tarun Gulati, Adv Rony O.John, Adv. Mr.Vibhooti Malhotra, Adv. for Mr. R.Chandrachud,Adv. UPON hearing counsel Court made following ORDER Leave granted. Civil Appeal is allowed, in terms of signed order with no order as to costs, in terms of signed order. (G.V.Ramana) (Vinod Kulvi) Court Master Asstt.Registrar (signed order is placed on file) Directorate of Income-tax, (International Taxation) v. M/s. Black & Veatch (I) P. Ltd