1. These are two appeals under Section 260-A of the Income Tax Act, 1961
(‘Act’) against the order dated 12th December 2014 passed by the Income
Tax Appellate Tribunal (‘ITAT’) in ITA No. 935/Del/2014 for the
Assessment Year (‘AY’) 2009-10. ITA No. 388/2015 is by the Revenue and
ITA No. 349 of 2015 is by the Assessee.
2. The Assessee, Yum Restaurants (India) Private Limited (‘Yum India’), is
part of the Yum Restaurants Group with its ultimate holding company being
Yum! Brands Inc. USA (Yum USA). 99.99% of shares of Yum India were
initially held by Yum Restaurants Asia Private Limited (‘Yum Asia’). After
28th November 2008, the shares were held by Yum! Asia Franchise Pte. Ltd.
Singapore (‘Yum Singapore’) pursuant to a restructuring within the group.
Yum India had a licence arrangement with Kentucky Fried Chicken
International Holdings Inc. (‘KFC’) and Pizza Hut International LLC (‘Pizza
Hut’) for opening KFC and Pizza Hut Restaurants in the Indian sub-
continent. The licences were later assigned by KFC and Pizza Hut to Yum
Asia. Subsequently it was assigned by Yum Asia in favour of Yum
Singapore with effect from August 2008. Yum India also entered into an
agreement with Yum Asia and subsequently with Yum Singapore with
effect from August 2008 for the provision of support to Pizza Hut, KFC and
ANW in South Asia.
Source: Indian Kanoon