https://www.taxtmi.com/caselaws?id=411349 Payments for access to online advertising, bulk email marketing and cloud hosting were held not to be royalty because the arrangements did not transfer any right in the underlying copyright or proprietary rights; mere use of a platform or facility was insufficient under the treaty definition. As no income chargeable to tax arose in India on these facts, the obligation to deduct tax at source under section 195 did not arise. The foundation for treating the payer as an assessee in default under sections 201(1) and 201(1A) therefore failed, and the consequential demand and interest were unsustainable. en-us Tue, 17 Aug 2021 00:00:00 +0530 Mon, 23 Aug 2021 17:12:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=411349 Payments for access to online advertising, bulk email marketing and cloud hosting were held not to be royalty because the arrangements did not transfer any right in the underlying copyright or proprietary rights; mere use of a platform or facility was insufficient under the treaty definition. As no income chargeable to tax arose in India on these facts, the obligation to deduct tax at source under section 195 did not arise. The foundation for treating the payer as an assessee in default under sections 201(1) and 201(1A) therefore failed, and the consequential demand and interest were unsustainable. Case-Laws Income Tax Tue, 17 Aug 2021 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=411349