https://www.taxtmi.com/caselaws?id=260286 The tribunal upheld the CIT(A)'s decision that the payment made by the assessee to a foreign company did not constitute 'royalty' under the Income Tax Act. Consequently, the demands raised by the AO and the disallowances under Section 40(a)(i) were found to be unjustified and dismissed. The tribunal emphasized that the assessee acted as a distributor, not a user, of the software products, leading to the conclusion that the payments did not attract 'royalty' taxation. en-us Wed, 03 Jun 2015 00:00:00 +0530 Mon, 08 Jun 2015 08:23:20 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=260286 The tribunal upheld the CIT(A)'s decision that the payment made by the assessee to a foreign company did not constitute 'royalty' under the Income Tax Act. Consequently, the demands raised by the AO and the disallowances under Section 40(a)(i) were found to be unjustified and dismissed. The tribunal emphasized that the assessee acted as a distributor, not a user, of the software products, leading to the conclusion that the payments did not attract 'royalty' taxation. Case-Laws Income Tax Wed, 03 Jun 2015 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=260286