https://www.taxtmi.com/caselaws?id=751403 ITAT Chennai held that payments received by assessee for providing data services to Indian company constituted royalty under section 9(1)(vi) as it involved transfer of right to use computer software. The assessee developed cloud database enabling customers to structure product data, and under agreement with Indian company, provided licensed data services for shopping application development. The tribunal found services fell under royalty definition involving transfer of rights to use computer software. CIT(A)'s direction to tax at 20% under section 206AA was set aside. ITAT directed AO to assess royalty income under section 115A(1)(b)(A) at 10% tax rate and verify Form 26AS for tax credit. Appeal allowed. en-us Wed, 13 Mar 2024 00:00:00 +0530 Tue, 16 Apr 2024 08:14:07 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=751403 ITAT Chennai held that payments received by assessee for providing data services to Indian company constituted royalty under section 9(1)(vi) as it involved transfer of right to use computer software. The assessee developed cloud database enabling customers to structure product data, and under agreement with Indian company, provided licensed data services for shopping application development. The tribunal found services fell under royalty definition involving transfer of rights to use computer software. CIT(A)'s direction to tax at 20% under section 206AA was set aside. ITAT directed AO to assess royalty income under section 115A(1)(b)(A) at 10% tax rate and verify Form 26AS for tax credit. Appeal allowed. Case-Laws Income Tax Wed, 13 Mar 2024 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=751403