2024 (4) TMI 206 - SCH - Income Tax

Income accrued / taxable in India - Royalty u/s 9(1)(vi) r.w.a.12 of the Indo US DTAA - licensing of software products of Microsoft in the Territory of India by the Respondent - whether taxable in India as Royalty u/s 9(1)(vi) of the Act read with Article 12 of the Indo US DTAA? As decided by HC 2022 (3) TMI 482 - DELHI HIGH COURT issue raised in the present appeals is no longer res integra as the Supreme Court in Engineering Analysis Centre of Excellence Private Limited 2021 (3) TMI 138 - SUPREME COURT as held that amounts paid by resident Indian end-users/distributors to nonresident computer software manufacturers/suppliers, as consideration for the resale/use of the computer software through EULAs/distribution agreements, is not the payment of royalty for the use of copyright in the computer software, and were not liable to deduct any TDS u/s 195 HELD THAT - There is gross delay of 636 days in filing this special leave petition. We note that the issues raised in this special leave petition have been answered by a judgment by in Engineering Analysis Centre of Excellence Private Limited 2021 (3) TMI 138 - SUPREME COURT Thus, following the aforesaid order/judgment, the special leave petition stands dismissed both on the ground of merits as well as on delay. In doing so we have also followed the order passed in M/S. GRACEMAC CORPORATION 2023 (8) TMI 98 - SC ORDER

Summary

The Supreme Court dismissed a special leave petition due to a gross delay of 636 days in filing. The issues raised were already addressed in a previous judgment. The dismissal was based on both merits and delay, following a previous order. Any pending applications were also disposed of.