Functional comparability governs selection of support-service and IT-enabled service comparables, with verification required for unresolved data and m...
Bank account freezing requires statutory authority; anti-money-laundering compliance and KYC monitoring do not permit unilateral indefinite restrictio...
The case involved determining tax liability on royalty receipts for software license expenses. The Assessing Officer (AO) considered the receipts taxable as royalty u/s 9(1)(vi) due to IT infrastructure use. However, the ITAT found no transfer of copyright in the software, citing EY Global Services Ltd and Engineering Analysis Centre of Excellence Pvt. Ltd judgments. The license granted did not confer proprietary interest or exclusive rights, thus not constituting royalty. As neither party could sublicense or modify the software, the receipts were not taxable as royalty. The appeal was allowed, holding no liability on the assessee despite tax deduction.
The case involved determining tax liability on royalty receipts for software license expenses. The Assessing Officer (AO) considered the receipts taxable as royalty u/s 9(1)(vi) due to IT infrastructure use. However, the ITAT found no transfer of copyright in the software, citing EY Global Services Ltd and Engineering Analysis Centre of Excellence Pvt. Ltd judgments. The license granted did not confer proprietary interest or exclusive rights, thus not constituting royalty. As neither party could sublicense or modify the software, the receipts were not taxable as royalty. The appeal was allowed, holding no liability on the assessee despite tax deduction.
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