Online AMADEUS CRS access and data transmission treated as export of computer software; deduction allowed u/s80HHE

The dominant issue was whether the assessee's activity of enabling online access to the AMADEUS CRS system and transmitting related outputs constituted "export of computer software" so as to qualify for deduction under s.80HHE. The Tribunal held that statutory export conditions were satisfied because exports were declared through SOFTEX forms, the competent authority certified actual transmission and accepted export value, and a prescribed CA report accompanied the return; hence the deduction was correctly allowable. The Revenue's contention that the assessee was not producing a computer programme was also undermined by the unchallenged finding that eligibility under s.10A/10B (requiring production of an article/thing) was prima facie met. The HC upheld the CIT(A) and dismissed the Revenue's appeal.

---

---

Issues: Whether the assessee (Amadeus India Pvt. Ltd.) is entitled to deduction under section 80HHE of the Income-tax Act, 1961 for export of computer software / transmission of computer programme outside India.

Analysis: The question requires determining whether the activities described (data processing, creation and transmission of segments, and related programs/instructions) amount to export of a "computer programme" within Explanation (b) to section 80HHE. In the absence of a statutory definition of "computer programme" in the Income-tax Act, the definition in the Copyright Act is instructive: a set of instructions in a machine-readable form capable of causing a computer to perform a task. Administrative and technical authorities (STP, ESC, Department of Electronics procedures including SOFTEX certification) and customs notifications have recognised data processing and related activities within the scope of software exports. Where statutory language is silent, meanings in related statutes and consistent administrative practice may be imported by the doctrine of pari materia provided they do not conflict with the Income-tax statute. The assessee's activitiespreparing instructions/partitions for the master computer, transmitting those instructions for incorporation into the host system, maintaining STP registration and SOFTEX compliance, and receiving export consideration in convertible foreign currencymeet the functional characteristics of a computer programme export as defined in the Copyright Act and recognised by relevant administrative schemes.

Conclusion: The assessee is entitled to deduction under section 80HHE of the Income-tax Act, 1961; the Revenue's appeal is dismissed and the order of the Commissioner of Income-tax (Appeals) is upheld.

Ratio Decidendi: Where a fiscal statute uses an undefined term ("computer programme"), the term should be interpreted consistently with its definition in related legislation (Copyright Act, 1957) and with relevant administrative notifications and certification regimes (STP/SOFTEX) under the doctrine of pari materia, enabling recognition of data processing/customised electronic data as exportable computer software for the purpose of section 80HHE of the Income-tax Act, 1961.

---