https://www.taxtmi.com/caselaws?id=309247 Consideration paid by Indian end-users or distributors to non-resident software suppliers under end-user licence and distribution arrangements is treated as payment for copyrighted articles, not as consideration for the use of copyright, and therefore does not constitute royalty under section 9(1)(vi) or Article 12 of the India-USA DTAA. The commentary also states that the treaty definition prevails where it is more beneficial to the assessee, and domestic law cannot be used to broaden the treaty meaning of royalty. On that basis, interest under section 234B is not chargeable where the receipts are not taxable in India on the alleged royalty basis. en-us Fri, 29 Jul 2022 00:00:00 +0530 Sat, 19 Aug 2023 22:14:10 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=309247 Consideration paid by Indian end-users or distributors to non-resident software suppliers under end-user licence and distribution arrangements is treated as payment for copyrighted articles, not as consideration for the use of copyright, and therefore does not constitute royalty under section 9(1)(vi) or Article 12 of the India-USA DTAA. The commentary also states that the treaty definition prevails where it is more beneficial to the assessee, and domestic law cannot be used to broaden the treaty meaning of royalty. On that basis, interest under section 234B is not chargeable where the receipts are not taxable in India on the alleged royalty basis. Case-Laws Income Tax Fri, 29 Jul 2022 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=309247