JUDGMENT

DR. B.P. SARAF, J.-By this reference under section 256(1) of the Income Tax Act, 1961, the Income-tax Appellate Tribunal has referred the following two questions of law to this Court for opinion, one each at the instance of the assessee and the Revenue.At the instance of the assessee:"(1) Whether the consideration received by the applicant under the agreement of September 9, 1979, with Ceat Tyres of India Ltd.--(a) for allowing Ceat Tyres the use of the applicants channels of distribution and after sale services in overseas markets,(b) for furnishing detailed market information to Ceat Tyres through the applicants representatives in major international markets and at the applicants expenses,(c) for permitting the benefit of advertising expenditure of the applicant to establish CEAT brands in overseas markets, is covered by the terms royalty and fees for technical services as defined in sections 9(1)(iv) and 9(1)(vii), respectively of the Income Tax Act, 1961?"At the instance of the Rev...