https://www.taxtmi.com/caselaws?id=380465 The Tribunal ruled in favor of the assessee, determining that payments for software license fees did not constitute 'Royalty' under the Income-tax Act or DTAA agreements. It was held that the purchase of copyrighted software did not require tax withholding at source. As a result, the demand for tax withholding was canceled, and the penalty under section 271C for non-deduction of tax at source was not applicable. The appeal by the assessee was allowed, leading to the deletion of the tax demand and interest charged, while the appeal by the Revenue was dismissed. en-us Fri, 17 May 2019 00:00:00 +0530 Tue, 21 May 2019 17:42:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=380465 The Tribunal ruled in favor of the assessee, determining that payments for software license fees did not constitute 'Royalty' under the Income-tax Act or DTAA agreements. It was held that the purchase of copyrighted software did not require tax withholding at source. As a result, the demand for tax withholding was canceled, and the penalty under section 271C for non-deduction of tax at source was not applicable. The appeal by the assessee was allowed, leading to the deletion of the tax demand and interest charged, while the appeal by the Revenue was dismissed. Case-Laws Income Tax Fri, 17 May 2019 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=380465