India High Court Holds Bank Payment Gateway Service Fees Not Subject to Tax Deducted at Source

The Delhi High Court recently issued a decision regarding whether fees paid for bank gateway services are considered commission fees subject to tax deducted at source (TDS). The case involved a travel website, makemytrip.com (the assessee), which uses payment gateway services provided by four banks that involves the sending of customer data to credit card issuers for the approval of transaction…