2024 (3) TMI 111 - SCH - Income Tax

Taxable income deemed to accrue in India - income from supply of CAS and middleware products to Indian customers - whether fall under the 'royalty' as defined under Section 9(1)(vi) of the Income Tax Act, 1961 ( the Act ) and Article 12(3) of the India-Swiss DTAA. As decided by HC 2022 (9) TMI 1563 - DELHI HIGH COURT questions of law as covered by the decision of Engineering Analysis Centre of Excellence Pvt. Ltd. 2021 (3) TMI 138 - SUPREME COURT wherein held amounts paid by resident Indian end-users/distributors to non-resident 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 that the same does not give rise to any income taxable in India. HELD THAT -There is a gross delay of 325 days in filing the Special Leave Petition. Moreover, the issues which arise in this case are covered by the judgment of this Court in Engineering Analysis Centre of Excellence Pvt. Ltd. v. Commissioner of Income Tax (supra) In the circumstances, the Special Leave Petition is dismissed both on the ground of delay as well as on merits. Pending application(s) shall stand disposed of.

Summary

The Supreme Court of India dismissed the Special Leave Petition due to a 325-day delay in filing and because the issues were covered by a previous judgment.