The case dealt with the taxability of income in India related to ...

Income tax case on royalty receipts & TDS u/s 195 in India. Court rules against retrospective application of tax laws.

Case Laws Income Tax

August 8, 2024

The case dealt with the taxability of income in India related to royalty receipts and Tax Deducted at Source (TDS) u/s 195. The respondent did not deduct tax on remittance to a foreign party for software procurement, claiming it wasn't royalty. Both the CIT(A) and Tribunal agreed. The High Court referred to precedent stating non-retrospective application of Explanation 6 to Section 9(1)(vi) of the Income Tax Act. The Supreme Court upheld this view, clarifying that Explanation 6 cannot be applied retrospectively. Rejecting the Revenue's attempt to apply Explanation 4 retrospectively, the court ruled in favor of the assessee.

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The case dealt with the taxability of income in India related to ...

Income tax case on royalty receipts & TDS u/s 195 in India. Court rules against retrospective application of tax laws.

Case Laws Income Tax

August 8, 2024

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