https://www.taxtmi.com/forum/issue?id=109310 The core issue is whether VAT applies to royalty paid to a foreign parent for technical know how and trademark use. A cited High Court ruling treats consideration for the right to use a trademark as a taxable transfer of a right to use a movable asset, supporting state turnover taxation. Advisers note purchase tax/VAT may be payable but any VAT paid could be available as input tax credit when the technology is used in manufacturing; the payer contests whether prior payment of service tax under reverse charge negates VAT liability and asks whether royalty is a good or service. en-us Tue, 20 Oct 2015 17:14:36 +0530 Thu, 23 Jan 2025 15:56:42 +0530 TaxTMI RSS Generator https://www.taxtmi.com/forum/issue?id=109310 The core issue is whether VAT applies to royalty paid to a foreign parent for technical know how and trademark use. A cited High Court ruling treats consideration for the right to use a trademark as a taxable transfer of a right to use a movable asset, supporting state turnover taxation. Advisers note purchase tax/VAT may be payable but any VAT paid could be available as input tax credit when the technology is used in manufacturing; the payer contests whether prior payment of service tax under reverse charge negates VAT liability and asks whether royalty is a good or service. Discussion-Forum VAT / Sales Tax Tue, 20 Oct 2015 17:14:36 +0530 https://www.taxtmi.com/forum/issue?id=109310