Plaintiff Favorable
at Income Tax Appellate Tribunal - Delhi
7 plaintiff favorable decisions from Income Tax Appellate Tribunal - Delhi.
Plaintiff Favorable Decisions
7 cases | Page 1 of 1
International Bridge Technologies Middle East DMCC v.Deputy Commissioner of Income-Tax, International Taxation, (2)(1)(1)
The assessee, a UAE-based company engaged in bridge design, challenged an assessment order classifying professional fees received for providing Design Support Services for the Versova-Bandra Sea Link Project as taxable royalty. The assessee argued that since ownership of the designs was outrightly transferred to Systra India, it constituted a sale of intellectual property rather than a right to use, thus not falling under the DTAA definition of royalty.
Mentor Graphics Ireland Ltd. v.Acit, Circle- 2(2)(1), International ...
Mentor Graphics Ireland Ltd. appealed against an assessment order holding that consideration received from supplying/distributing its copyrighted software was chargeable to tax as 'Royalty' under the India-Ireland Double Taxation Avoidance Agreement (DTAA). The Tribunal, following Supreme Court precedents, ruled that payments made for resale through EULAs do not constitute royalty for the use of copyright.
M/S Soktas Tekstil Sanayi Ve Ticaret As v.ACIT, International Taxation
The assessee, a Turkish non-resident entity specializing in textile production, received consideration for granting an exclusive and perpetual license to use its trademarks and brand names to its Indian subsidiary. The core dispute was whether this payment constituted royalty or capital gains under the India-Turkey Double Taxation Avoidance Agreement (DTAA).
Csg International Ltd v.Ddit International Taxation Circle 1
The assessee (Csg International Ltd) appealed against an order taxing revenue earned from supplying software as 'royalty'. The core dispute was whether the payment for using copyrighted software constituted a transfer of copyright rights or merely a license to use a copyrighted article. The Tribunal relied on Supreme Court judgments, concluding that non-exclusive licenses do not attract royalty under DTAAs.
Attachmate Corporation v.DCIT, International Taxation, Circle-1(1)(1)
The assessee, a US company dealing in software products, challenged the Assessing Officer's order which treated income received from Indian distributors as 'Royalty' chargeable under Article 12 of the India-USA DTAA. The Tribunal held that since no right in copyright was being transferred, the consideration could not be taxed as royalty.
Qliktech International Ab v.DCIT (International Taxation)
The assessee, Qliktech International AB (a Swedish company), was assessed income from the sale of its software products (Qlikview) as 'royalty' under Section 9(1)(vi) and Article 12 of the India-Sweden DTAA. The Tribunal ruled in favor of the assessee, holding that the mere transfer of a copyrighted article does not constitute a transfer of copyright or payment for use/acquisition of rights, and thus is not taxable as royalty.
Microsoft Regional Sales Corporation v.Deputy Director of IT, C/o S.R. Batliboi & Co
The petitioner, Microsoft Regional Sales Corporation, challenged additions made by the Assessing Officer regarding its revenue receipts from licensing Microsoft products. The core issue was whether these payments constituted taxable royalty income in the hands of the assessee. The Tribunal followed a previous ITAT decision and held that although the amount constitutes royalty, it is not assessable in the petitioner's hands.
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