2023 (9) TMI 680 - SCH - Income Tax

Income taxable in India - taxability of receipts towards software and subscription - AO had held the receipt to be royalty and taxed it @10% on the gross basis as per Article 12 in India-Netherland treaty - HELD THAT - The issues which arise in this special leave petition have been considered by this Court in a case of Engineering Analysis Centre of Excellence Private limited 2021 (3) TMI 138 - SUPREME COURT as held consideration end user license, Copy Right Act, and provisions contained in DTAA and the Income Tax Act and has laid down the parameters to test whether the receipt from sale of software would tantamount to royalty or not. SLP dismissed.

Summary

The Supreme Court, with Justices B.V. Nagarathna and Ujjal Bhuyan, dismissed a special leave petition citing a previous judgment in the case of Engineering Analysis Centre of Excellence Private limited vs. Commissioner of Income Tax and Another [(2022) 3 SCC 321]. The delay was condoned, and pending applications were disposed of.