https://www.taxtmi.com/caselaws?id=439905 Access to an SAP system for data exchange and report generation was held not to constitute equipment royalty, because the relevant domestic definition for the year did not then include equipment royalty and the taxpayer could rely on the more beneficial treaty-linked domestic rule. The payment also did not amount to process royalty, as it was only limited access to an ERP platform and not use of a qualifying process, and the deeming provisions in Explanations 5 and 6 were inapplicable. It further was not royalty for software or copyright use, since no copyright right or licence to commercially exploit software was transferred. Treated as business profits, the amount was not taxable in India absent a permanent establishment. en-us Wed, 21 Jun 2023 00:00:00 +0530 Thu, 11 Jan 2024 12:32:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=439905 Access to an SAP system for data exchange and report generation was held not to constitute equipment royalty, because the relevant domestic definition for the year did not then include equipment royalty and the taxpayer could rely on the more beneficial treaty-linked domestic rule. The payment also did not amount to process royalty, as it was only limited access to an ERP platform and not use of a qualifying process, and the deeming provisions in Explanations 5 and 6 were inapplicable. It further was not royalty for software or copyright use, since no copyright right or licence to commercially exploit software was transferred. Treated as business profits, the amount was not taxable in India absent a permanent establishment. Case-Laws Income Tax Wed, 21 Jun 2023 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=439905