https://www.taxtmi.com/caselaws?id=797638 Intellectual Property Right Service applies only where a right is recognised as intellectual property under Indian law and is temporarily transferred or licensed. Know-how not established as a distinct recognised intellectual property right, when transferred with title, property and risk absolutely, falls outside that levy. Royalty payable over five years may constitute deferred sale consideration where it forms part of an outright transfer, even if linked to future sales, rather than consideration for a continuing licence. Customs valuation does not determine service-tax treatment. Where the underlying service-tax demand fails, related registration-based penalties, interest and penalties do not survive; bona fide legal interpretation and prior departmental correspondence may also establish reasonable cause. en-us Fri, 21 Aug 2026 00:00:00 +0530 Wed, 26 Aug 2026 08:27:51 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=797638 Intellectual Property Right Service applies only where a right is recognised as intellectual property under Indian law and is temporarily transferred or licensed. Know-how not established as a distinct recognised intellectual property right, when transferred with title, property and risk absolutely, falls outside that levy. Royalty payable over five years may constitute deferred sale consideration where it forms part of an outright transfer, even if linked to future sales, rather than consideration for a continuing licence. Customs valuation does not determine service-tax treatment. Where the underlying service-tax demand fails, related registration-based penalties, interest and penalties do not survive; bona fide legal interpretation and prior departmental correspondence may also establish reasonable cause. Case-Laws Service Tax Fri, 21 Aug 2026 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=797638