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TMI Blog2024 (5) TMI 960X X X X Extracts X X X X X X X X Extracts X X X X ..... t Bandwidth charges are not taxable as royalty income. As established on record that there is no factual difference relating to the issue in the impugned assessment year compared to the past assessment years. Therefore, respectfully following the consistent view of the Tribunal on the issue we hold that the receipts from Bandwidth charges are not taxable as royalty income either u/s 9(1)(vi) of the Act or under Article 12(3) of India Singapore DTAA. Accordingly, we direct the AO to delete the addition. Grounds are decided accordingly. TDS credit - credit for corresponding TDS deducted on the interest on income tax refund - HELD THAT:- It is the say of the assessee that though it has offered to tax the interest income on income tax refund, h ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... is otherwise known as Bandwidth services. In the year under consideration, the assessee has provided Bandwidth services to various customers in India and received an amount of Rs. 8,01,29,404/- In course of draft assessment proceedings, though, the assessee claimed that Bandwidth charges, being not in the nature of royalty, are not taxable in India in absence of any Permanent Establishment (PE), however, the Assessing Officer was not convinced with the submissions of the assessee. He was of the view that Bandwidth charges fall within the definition royalty in terms of section 9(1)(vi) of the Act and Article 12(3) of India Singapore DTAA. Accordingly, he proposed the addition of receipts towards Bandwidth charges as royalty income while fra ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 30.09.2020, held that Bandwidth charges are not taxable as royalty income. Identical view was taken by the Tribunal in subsequent assessment years, till assessment year 2019-20 through orders passed in ITA No.5880/Del/2018 5479/Del/2019, dated 13th July, 2022 in assessment years 2015- 16 and 2016-17; ITA No.599/Del/2021, dated 27th September, 2022 in assessment year 2017-18 and the latest order passed in ITA No.1654/Del/2022 1655/Del/2022, dated 17th July, 2023 in assessment years 2018-19 and 2019-20. 8. From the observations made by the Assessing Officer and learned DRP, it is established on record that there is no factual difference relating to the issue in the impugned assessment year compared to the past assessment years. Therefore, re ..... X X X X Extracts X X X X X X X X Extracts X X X X
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