https://www.taxtmi.com/caselaws?id=287201 Receipts for grant of user rights in off-the-shelf software were held not to be royalty because the payer acquired only a copyrighted article, not any copyright, and no right to sub-license or modify the software was transferred. The Tribunal applied the settled distinction between use of a copyrighted article and use of copyright, and treated the narrower DTAA definition as more beneficial than the domestic provision. Related support services were also found, on the facts, not to constitute royalty. Accordingly, the receipts were not taxable as royalty under the Income-tax Act or Article 12 of the India-USA DTAA. en-us Fri, 05 Jul 2019 00:00:00 +0530 Fri, 03 Apr 2020 10:52:43 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=287201 Receipts for grant of user rights in off-the-shelf software were held not to be royalty because the payer acquired only a copyrighted article, not any copyright, and no right to sub-license or modify the software was transferred. The Tribunal applied the settled distinction between use of a copyrighted article and use of copyright, and treated the narrower DTAA definition as more beneficial than the domestic provision. Related support services were also found, on the facts, not to constitute royalty. Accordingly, the receipts were not taxable as royalty under the Income-tax Act or Article 12 of the India-USA DTAA. Case-Laws Income Tax Fri, 05 Jul 2019 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=287201