https://www.taxtmi.com/caselaws?id=207333 Consideration for supply and licence of software was held not to fall within royalty under Article 12(3) of the India-Israel DTAA because the payment was for a copyrighted article, not for transfer of copyright rights. The treaty phrase referring to the use of, or right to use, copyright could not be expanded to cover mere use of software as a product, and the alternative argument that the payment was for use of a process was also rejected. As the assessee was resident in Israel and had no permanent establishment in India, the receipts were not taxable in India as business profits under Article 7, and the addition was deleted. en-us Fri, 26 Aug 2011 00:00:00 +0530 Mon, 25 Apr 2016 14:22:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=207333 Consideration for supply and licence of software was held not to fall within royalty under Article 12(3) of the India-Israel DTAA because the payment was for a copyrighted article, not for transfer of copyright rights. The treaty phrase referring to the use of, or right to use, copyright could not be expanded to cover mere use of software as a product, and the alternative argument that the payment was for use of a process was also rejected. As the assessee was resident in Israel and had no permanent establishment in India, the receipts were not taxable in India as business profits under Article 7, and the addition was deleted. Case-Laws Income Tax Fri, 26 Aug 2011 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=207333