Any fee for technical services payable by
(a) the Government ; or
(b) a person who is a resident, except where the fees are payable in respect of services utilised in a business or profession carried on by such person outside India or for the purposes of making or earning any income from any source outside India ; or
(c) a person who is non resident, where the fees are payable in respect of services utilised in business or profession carried on by such person in India or for the purposes of making or earning any income from any source in India.
(i) This provision shall not apply in relation to any income by why of fees for technical services payable in pursuance of an agreement made before the 1st day of April, 1977 and approved by the Central Government.
(ii) For the purposes of such income, an agreement made on or after the 1st day of April 1976, shall be deemed to have been made before that date if the agreement is made in accordance with proposals approved by the Central Government before that date.
(iii) The terms “fees for technical services” means any consideration (including any lump sum consideration) for the rendering of any managerial, technical or consultancy services (including the provision of services of technical or other personnel) but does not include consideration for any construction, assembly, mining or like project undertaken by the recipient or consideration which would be income of the recipient chargeable under the head “Salaries”).
(iv) Any pension payable outside India to a person residing permanently outside India shall not be deemed to accrue or arise in India, if the pension is payable to a person referred to in article 314 of the Constitution or to a person who, having been appointed before the 15th day of August, 1947, to be a Judge of the Federal Court of a High Court within the meaning of the Government of India Act, 1935 continues to serve on or after the commencement of the Constitution as a Judge in India.