https://www.taxtmi.com/caselaws?id=213230 A composite payment under a distance-education arrangement was analysed under Article 12 of the India-US DTAA to determine whether it constituted royalty and attracted deduction of tax at source under section 195. Reading the agreement as a whole, the payer's role was limited to marketing, registration support and infrastructure, while the foreign affiliate retained ownership of course content and marks and separately provided online access and related services. On that construction, no right to use copyright, trademark or other intellectual property was transferred, so the remittance was not royalty. The authorities' insistence on tax deduction at source was therefore not sustainable. en-us Fri, 09 Mar 2012 00:00:00 +0530 Tue, 15 May 2012 08:05:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=213230 A composite payment under a distance-education arrangement was analysed under Article 12 of the India-US DTAA to determine whether it constituted royalty and attracted deduction of tax at source under section 195. Reading the agreement as a whole, the payer's role was limited to marketing, registration support and infrastructure, while the foreign affiliate retained ownership of course content and marks and separately provided online access and related services. On that construction, no right to use copyright, trademark or other intellectual property was transferred, so the remittance was not royalty. The authorities' insistence on tax deduction at source was therefore not sustainable. Case-Laws Income Tax Fri, 09 Mar 2012 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=213230