2024 (2) TMI 692

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

.....S. Tomar, Shri Ankit Sahni And Shri Yishu Goel, Advocates For the Revenue : Shri Sanjay Kumar, Sr. DR ORDER PER ANUBHAV SHARMA, JM: These are appeals preferred by the Revenue against the orders dated 20.02.2023 of the Commissioner of Income Tax (Appeals), Delhi-42 (hereinafter referred to as the Ld. First Appellate Authority or in short Ld. 'FAA') in appeals No.CIT(A), Delhi-42/10566/....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

.... Article 7 of the India Japan DTAA. II) Whether on the facts and circumstances of the case the Ld. CIT(A) is correct in relying on judgement of SC in case of Engineering Analysis, and accordingly holding that the consideration received by the assessee from Indian end customers for sale of software products does not constitute royalty income, despite review petition of revenue against said....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....applicable surcharge and cess as per the Article 12 of India-Japan DTAA; and ii) Sale of Software licenses subscription which was not offered to tax. 6. The ld. AO had made the addition on account of sale of software licence subscription considering the same to be royalty income and the ld.CIT(A) had set aside by holding as under:- "8.3 The AR also drew my attention to the fav....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

.... 8.5 It has been submitted that the appellant's position in relation to taxability of software payments has been accepted by the AO in AY 2018- 19 and 2019-20 pursuant to the ruling of the Hon'ble Supreme Court in the case of Engineering Analysis Centre of Excellence Private Limited vs CIT [2021] 125 taxmann.com 42. Copy of the final assessment order passed by the AO for AY 2018-19 and 2019-20 ....