Engineering Analysis Centre of Excellence (P) Ltd. v. CIT

432 ITR 471Supreme Court of India2021#50 most cited

What is Engineering Analysis Centre of Excellence (P) Ltd. v. CIT authority for?

Payments for the supply or use of computer software, where there is no transfer of copyright but only a right to use the copyrighted product, are generally considered business profits and not 'royalty' or 'fees for technical services' under the Income Tax Act, 1961 or relevant DTAAs. This principle also applies to transponder fees, which are not taxable as royalty.

914

judgments rely on this decision, according to BharatTax’s citation analysis of 367,181 Indian tax judgments — from 2012 to 2026.

Also referred to as

Engineering Analysis Centre of Excellence · computer software royalty · section 9(1)(vi) · DTAA · fees for technical services · copyright transfer · copyrighted article · withholding tax · business profits · section 195 · transponder fees · taxability in India

Also reported as

125 Taxmann.com 42281 Taxmann 19

Sections most often in play

Section 143(3)Section 1961Section 9(1)(vi)Section 234BSection 195Section 90Section 144C(13)Section 9(1)(vii)
Read the full judgment

Issues it is cited on

copyrighted articlesection 14(a)section 9(1)(vi)make available clausecomputer softwaresection 195(2)section 90(2)royalty incomewithholding taxforeign tax creditfees for included servicestax treaty

Judgments citing Engineering Analysis Centre of Excellence (P) Ltd. v. CIT

M/S. Ansys Inc, Pune vs. Deputy Commissioner of Income-Tax, (It), Circle -1, Pune

In the result, appeal of the assessee is allowed

ITA 1646/PUN/2019[2010-11]Status: DisposedITAT Pune09 Jun 2022AY 2010-11

Bench: The Tribunal. He Further Submitted That This Delay Has Been Caused Due To The Bonafide Belief That On The Concerned Day Of Filing Of The Appeal, The Tribunal Was Not Functioning But Later On They Came To Know That It Was A Working Day. Therefore, It Was Prayed By The Ld. Counsel That This One Day‟S Delay May Be Condoned Since It Is Neither Deliberate Nor Intentional & Has Been Caused Because Of Mistake Of Information & Knowledge. The Ld. D.R Did Not Raise Objection.

For Appellant: Shri V. Narendra Sharma (through virtual)For Respondent: Shri Subhakanta Sahu
Section 14Section 144C(5)

…Tribunal in ITA No. 175 and 1755/PUN/2018 for A.Y. 2009-10 and 2014-15, order dated 15-06-2021 has given relief to the assessee considering the decision of Hon‟ble Supreme Court in the case of Engineering Analysis Centre of Excellence Pvt. Ltd. Vs. CIT (2021) 432 ITR 472 (SC). The relevant paras of Tribunal‟s order are as follows 3 Ansys Inc. A.Y. 2010-11 4. The above paragraph clearly indicates that the Royalty means consideration for use or right to use any copyright of a literary, artistic or scientific work etc. The question whether the sale of computer software would partake of the character of Royalties o…

The Dy.Citi -Cir 3(3) (2), Mumbai vs. M/S. Park Air Systems Ltd, Mumbai

In the result, appeal by the Revenue is dismissed

ITA 2362/MUM/2021[2015-16]Status: DisposedITAT Mumbai07 Jun 2022AY 2015-16

Bench: Shri Pramod Kumar & Shri Sandeep Singh Karhail

For Appellant: Shri Ashish K. Gupta, C.AFor Respondent: Shri Milind Chavan, Sr. DR
Section 250Section 9(1)(vi)

…IN THE INCOME TAX APPELLATE TRIBUNAL “I” BENCH, MUMBAI BEFORE SHRI PRAMOD KUMAR, VICE PRESIDENT AND SHRI SANDEEP SINGH KARHAIL, JUDICIAL MEMBER ITA no.2362/Mum./2021 (Assessment Year : 2015–16) The Dy. Commissioner of Income Tax ……………. Applicant International Taxation, Circle–3(3)(2) Mumbai PAN – AAFCP1815Q v/s Park Air Systems Ltd. North Fields, Market Deepingpeterborough ……………. Respondent UK GROSS PROFIT PE68UE United Kingdom of Great Britain And Northern Ireland 999999 Assessee by : Shri Ashish K. Gupta, C.A. Revenue by : Shri Milind Chavan, Sr. DR Date of Hearing – 05.04.2022 Date of Order – 07/06/2022…

Veritas Storage (Singapore) Pte. Ltd., Singapore vs. DCIT, Circle-3(1)(1), Int. Tax., New Delhi

In the result, the appeal of the assessee in ITA No

ITA 9428/DEL/2019[2016-17]Status: DisposedITAT Delhi07 Jun 2022AY 2016-17

Bench: Shri N.K. Billaiya & Ms. Astha Chandra

For Appellant: Shri Nikhil Gupta, AdvFor Respondent: Sanjay Kumar, Sr. DR
Section 195Section 52(1)(aa)Section 9Section 9(1)(vi)

…ities below. We are of the considered view that the impugned quarrel is now well settled by the decision of the Hon'ble Supreme Court in favour of the assessee and against the Revenue in the case of Engineering Analysis Center of Excellence Pvt Ltd. [2021] 432 ITR 471 wherein the Hon'ble Supreme Court, in a bunch of appeals, conclusively held as under: “168. Given the definition of royalties contained in Article 12 of the DTAAs mentioned in paragraph 41 of this judgment, it is clear that there is no obligation on the persons mentioned in section 195 of the income-tax Act to deduct tax at source, as the distr…

Microsoft Regional Sales Corporation, New Delhi vs. DCIT (International Taxation), Circle-2(2)(1), New Delhi

In the result, assessee’s appeals are allowed

ITA 7857/DEL/2019[2016-17]Status: DisposedITAT Delhi07 Jun 2022AY 2016-17
For Appellant: Shri Nageshwar Rao, AdvocateFor Respondent: Ms. Anupama Anand, CIT DR
Section 147Section 234

…IN THE INCOME TAX APPELLATE TRIBUNAL (DELHI BENCH ‘D’ : NEW DELHI) SHRI SHAMIM YAHYA, ACCOUNTANT MEMBER and SMT. ASTHA CHANDRA, JUDICIAL MEMBER ITA No.7855/Del./2019 (ASSESSMENT YEAR : 2015-16) ITA No.7856/Del./2019 (ASSESSMENT YEAR : 2016-17) MOL Corporation, vs. DCIT, Circle 2(2)(1), C/o Mr. Nirmal Malapani, International Taxation, SRBC & Associates LLP, Delhi. 3rd 7 6th Floor, Worlmark 1, IGI Airport Hospitality, District Aerocity, New Delhi – 110 037. (PAN : AAFCM9676A) ITA No.7857/Del./2019 (ASSESSMENT YEAR : 2016-17) Microsoft Regional Sales Pte. Ltd., vs. DCIT, Circle 2(2)(1), (formerly known as Micr…

Mol Corporation, New Delhi vs. DCIT, Circle- 2(2)(1), Intl. Taxation, New Delhi

In the result, assessee’s appeals are allowed

ITA 7856/DEL/2019[2016-17]Status: DisposedITAT Delhi07 Jun 2022AY 2016-17
For Appellant: Shri Nageshwar Rao, AdvocateFor Respondent: Ms. Anupama Anand, CIT DR
Section 147Section 234

…IN THE INCOME TAX APPELLATE TRIBUNAL (DELHI BENCH ‘D’ : NEW DELHI) SHRI SHAMIM YAHYA, ACCOUNTANT MEMBER and SMT. ASTHA CHANDRA, JUDICIAL MEMBER ITA No.7855/Del./2019 (ASSESSMENT YEAR : 2015-16) ITA No.7856/Del./2019 (ASSESSMENT YEAR : 2016-17) MOL Corporation, vs. DCIT, Circle 2(2)(1), C/o Mr. Nirmal Malapani, International Taxation, SRBC & Associates LLP, Delhi. 3rd 7 6th Floor, Worlmark 1, IGI Airport Hospitality, District Aerocity, New Delhi – 110 037. (PAN : AAFCM9676A) ITA No.7857/Del./2019 (ASSESSMENT YEAR : 2016-17) Microsoft Regional Sales Pte. Ltd., vs. DCIT, Circle 2(2)(1), (formerly known as Micr…

Mol Corporation, New Delhi vs. DCIT, Circle- 2(2)(1), Intl. Taxation, New Delhi

In the result, assessee’s appeals are allowed

ITA 7855/DEL/2019[2015-16]Status: DisposedITAT Delhi07 Jun 2022AY 2015-16
For Appellant: Shri Nageshwar Rao, AdvocateFor Respondent: Ms. Anupama Anand, CIT DR
Section 147Section 234

…IN THE INCOME TAX APPELLATE TRIBUNAL (DELHI BENCH ‘D’ : NEW DELHI) SHRI SHAMIM YAHYA, ACCOUNTANT MEMBER and SMT. ASTHA CHANDRA, JUDICIAL MEMBER ITA No.7855/Del./2019 (ASSESSMENT YEAR : 2015-16) ITA No.7856/Del./2019 (ASSESSMENT YEAR : 2016-17) MOL Corporation, vs. DCIT, Circle 2(2)(1), C/o Mr. Nirmal Malapani, International Taxation, SRBC & Associates LLP, Delhi. 3rd 7 6th Floor, Worlmark 1, IGI Airport Hospitality, District Aerocity, New Delhi – 110 037. (PAN : AAFCM9676A) ITA No.7857/Del./2019 (ASSESSMENT YEAR : 2016-17) Microsoft Regional Sales Pte. Ltd., vs. DCIT, Circle 2(2)(1), (formerly known as Micr…

Gsx Sarl, New Delhi vs. ACIT, Circle Int. Tax 1(3)(1), New Delhi

In the result, the appeal of the assessee in ITA No

ITA 8769/DEL/2019[2016-17]Status: DisposedITAT Delhi02 Jun 2022AY 2016-17

Bench: Shri N.K. Billaiya & Ms. Astha Chandra

For Appellant: Shri Anshul Kumar, CAFor Respondent: Ssanjay Kumar, Sr. DR
Section 195Section 9

…e have carefully considered the orders of the authorities below. We are of the considered view that this entire quarrel has now been settled by the decision of the Hon'ble Supreme Court in the case of Engineering Analysis Center of Excellence Pvt Ltd. [2021] 432 ITR 471 wherein the Hon'ble Supreme Court, in a bunch of appeals, conclusively held as under: “168. Given the definition of royalties contained in Article 12 of the DTAAs mentioned in paragraph 41 f this judgment, it is clear that there is no obligation on the persons mentioned in section 195 of the income-tax Act to deduct tax at source, as the distr…

M/S. Stonehill Education Foundation, Bengaluru vs. Commissioner of Income Tax(Appeal)-12, Bengaluru

In the result, appeals filed by the assessee for both the years under consideration partly stands allowed for statistical purposes

ITA 2061/BANG/2019[2017-18]Status: DisposedITAT Bangalore01 Jun 2022AY 2017-18

Bench: Shri. Chandra Poojari & Smt. Beena Pillai

For Appellant: Shri Ajay Roti, CA
Section 195Section 201Section 201(1)

…IN THE INCOME TAX APPELLATE TRIBUNAL ‘B’ BENCH : BANGALORE BEFORE SHRI. CHANDRA POOJARI, ACCOUNTANT MEMBER AND SMT. BEENA PILLAI, JUDICIAL MEMBER ITA Nos. 2060 & 2061/Bang/2019 Assessment Years : 2016-17 & 2017-18 M/s. Stonehill Education The Deputy Foundation, Commissioner of No. 150, 1st Floor, Embassy Income-tax point, (International Infantry Road, Taxation), Bangalore – 560 001. Vs. Circle – 2 (1), PAN: AALCS9631D Bangalore. APPELLANT RESPONDENT Assessee by : Shri Ajay Roti, CA : Shri Priyadarshi Mishra, Revenue by Addl. CIT (DR) Date of Hearing : 31-03-2022 Date of Pronouncement : 01-06-2022 ORDER PER BEENA…

M/S. Stonehill Education Foundation, Bengaluru vs. Commissioner of Income Tax(Appeal)-12, Bengaluru

In the result, appeals filed by the assessee for both the years under consideration partly stands allowed for statistical purposes

ITA 2060/BANG/2019[2016-17]Status: DisposedITAT Bangalore01 Jun 2022AY 2016-17

Bench: Shri. Chandra Poojari & Smt. Beena Pillai

For Appellant: Shri Ajay Roti, CA
Section 195Section 201Section 201(1)

…IN THE INCOME TAX APPELLATE TRIBUNAL ‘B’ BENCH : BANGALORE BEFORE SHRI. CHANDRA POOJARI, ACCOUNTANT MEMBER AND SMT. BEENA PILLAI, JUDICIAL MEMBER ITA Nos. 2060 & 2061/Bang/2019 Assessment Years : 2016-17 & 2017-18 M/s. Stonehill Education The Deputy Foundation, Commissioner of No. 150, 1st Floor, Embassy Income-tax point, (International Infantry Road, Taxation), Bangalore – 560 001. Vs. Circle – 2 (1), PAN: AALCS9631D Bangalore. APPELLANT RESPONDENT Assessee by : Shri Ajay Roti, CA : Shri Priyadarshi Mishra, Revenue by Addl. CIT (DR) Date of Hearing : 31-03-2022 Date of Pronouncement : 01-06-2022 ORDER PER BEENA…

M/S. Madura Coats Private Limited, Bangalore vs. Deputy Commissioner of Income Tax., (International Transaction), Circle- 1(2), Bangalore

In the result, appeals filed by assessee for A

ITA 1345/BANG/2019[2017-18]Status: DisposedITAT Bangalore31 May 2022AY 2017-18

Bench: Smt. Beena Pillai & Ms. Padmavathy Sit(It)A Nos. 1344 & 1345/Bang/2019 Assessment Years : 2016-17 & 2017-18 M/S. Madura Coats Pvt. The Deputy Ltd., Commissioner Of 7Th Floor, Jupiter Income Tax Prestige Technology (International Park, Vs. Taxation), Outer Ring Road, Circle – 1(2), Bangalore – 560 103. Bangalore. Pan: Aabcm8297K Appellant Respondent Assessee By : Shri Ajay Rotti, Ca : Shri Shehnawaz Ul Rahaman, Revenue By Addl. Cit (Dr) Date Of Hearing : 13-04-2022 Date Of Pronouncement : 31-05-2022 Order Per Beena Pillaipresent Appeals Are Filed By Assessee Against Order Dated 30.03.2019 Passed By Ld.Cit(A)-12, Bangalore For A.Ys. 2016-17 & 2017-18. It Is Submitted That The Issues Alleged By Assessee In Both These Years Are Identical & On Similar Facts. 2. Brief Facts Of The Case Are As Under: 2.1 Madura Coats Pvt Ltd (Mcpl) Is An Indian Company Carrying On The Business As Manufacturer & Merchant Of Sewing Threads & Other Goods, Possesses The Requisite Expertise & Experience By Virtue Of Having Several Qualified Personnel In Its Employment. During The Course Of Verification Conducted Us

For Appellant: Shri Ajay Rotti, CA
Section 195Section 201(1)

…pment, while the definition under the IT Act cover such consideration for use of ICS equipment. 24. He placed reliance on the principles laid down by the Hon’ble Supreme Court in case of Engineering for Analysis Centre of Excellence (P) Ltd reported in (2021) 125 Taxmann.com 42. On the question whether the provisions of the Act can override the Page 22 IT(IT)A Nos. 1344 & 1345/Bang/2019 provisions of the DTAA, the Hon’ble Court held that, Explanation 4 was inserted in section 9(1)(vi) of the Act in 2012, to clarify that, the "transfer of all or any rights" in respect of any right, property, or information include…

M/S. Madura Coats Private Limited, Bangalore vs. Deputy Commissioner of Income Tax., (International Transaction), Circle- 1(2), Bangalore

In the result, appeals filed by assessee for A

ITA 1344/BANG/2019[2016-17]Status: DisposedITAT Bangalore31 May 2022AY 2016-17

Bench: Smt. Beena Pillai & Ms. Padmavathy Sit(It)A Nos. 1344 & 1345/Bang/2019 Assessment Years : 2016-17 & 2017-18 M/S. Madura Coats Pvt. The Deputy Ltd., Commissioner Of 7Th Floor, Jupiter Income Tax Prestige Technology (International Park, Vs. Taxation), Outer Ring Road, Circle – 1(2), Bangalore – 560 103. Bangalore. Pan: Aabcm8297K Appellant Respondent Assessee By : Shri Ajay Rotti, Ca : Shri Shehnawaz Ul Rahaman, Revenue By Addl. Cit (Dr) Date Of Hearing : 13-04-2022 Date Of Pronouncement : 31-05-2022 Order Per Beena Pillaipresent Appeals Are Filed By Assessee Against Order Dated 30.03.2019 Passed By Ld.Cit(A)-12, Bangalore For A.Ys. 2016-17 & 2017-18. It Is Submitted That The Issues Alleged By Assessee In Both These Years Are Identical & On Similar Facts. 2. Brief Facts Of The Case Are As Under: 2.1 Madura Coats Pvt Ltd (Mcpl) Is An Indian Company Carrying On The Business As Manufacturer & Merchant Of Sewing Threads & Other Goods, Possesses The Requisite Expertise & Experience By Virtue Of Having Several Qualified Personnel In Its Employment. During The Course Of Verification Conducted Us

For Appellant: Shri Ajay Rotti, CA
Section 195Section 201(1)

…pment, while the definition under the IT Act cover such consideration for use of ICS equipment. 24. He placed reliance on the principles laid down by the Hon’ble Supreme Court in case of Engineering for Analysis Centre of Excellence (P) Ltd reported in (2021) 125 Taxmann.com 42. On the question whether the provisions of the Act can override the Page 22 IT(IT)A Nos. 1344 & 1345/Bang/2019 provisions of the DTAA, the Hon’ble Court held that, Explanation 4 was inserted in section 9(1)(vi) of the Act in 2012, to clarify that, the "transfer of all or any rights" in respect of any right, property, or information include…

Micro Focus Software Inc. (Earlier Known As Novell Inc.), Usa vs. The Dy CIT (Intl. Taxation)-Circle-3(2)(2), Mumbai

In the result, the appeal is allowed in the terms indicated above

ITA 863/MUM/2021[2017-18]Status: DisposedITAT Mumbai30 May 2022AY 2017-18
Section 139(1)Section 143(3)Section 234A

…ITA No.863/Mum/2021 Assessment year: 2017-18 Page 1 of 17 IN THE INCOME TAX APPELLATE TRIBUNAL MUMBAI 'I' BENCH, MUMBAI [Coram: Pramod Kumar (Vice President), and Sandeep Singh Karhail (Judicial Member)] Assessment year: 2017-18 Micro Focus Software Inc. ………….……… Appellant (Formerly Known as Novell Inc.) 1800, South Novell Palace, Provo Utah 84606 United States of America C/o. B S R & Co Appolo Mills Compound, 1st Floor, Lodha Excellus, N.M Joshi Marg, Mahalaskshmi, Mumbai 400001 [PAN: AABCN5034F] Vs. Deputy Commissioner of Income Tax (IT) Circle 3(2)(2) Mumbai …………………… Respondent Appearances by Ninad Patade f…

M/S Honeywell Technology Solutions Lab Private Limited, Bangalore vs. Joint Commissioner of Income Tax Special Range-3, Bangalore

ITA 2890/BANG/2018[2011-12]Status: DisposedITAT Bangalore30 May 2022AY 2011-12

Bench: Shri N.V. Vasudevan & Shri B.R. Baskaranm/S Honeywell Technolgoy Solutions Jt. Cit, Special Range 3 Pvt. Ltd. 2Nd Floor, Bmtc Building Survey No. 96 & 97, Boganahalli 6Th Block, Koramangala Village & Survey No. 72/2 & 72/5 Vs. Bengaluru 560095 Doddakananahalli Village Varthur Hobli, Bengaluru East Taluk, Bengaluru 560103 Pan – Aaach4151J Appellant Respondent Appellant By: Smt. Shreya Loyalaka, Advocate Respondent By: Shri Sumer Singh Meena, Cit-Dr Date Of Hearing: 30.03.2022 Date Of Pronouncement: 30.05.2022

For Appellant: Smt. Shreya Loyalaka, AdvocateFor Respondent: Shri Sumer Singh Meena, CIT-DR
Section 2Section 2(2)Section 80J

…IN THE INCOME TAX APPELLATE TRIBUNAL BENGALURU “A” BENCH, BENGALURU Before Shri N.V. Vasudevan, Vice President and Shri B.R. Baskaran, Accountant Member M/s Honeywell Technolgoy Solutions Jt. CIT, Special Range 3 Pvt. Ltd. 2nd Floor, BMTC Building Survey No. 96 & 97, Boganahalli 6th Block, Koramangala Village and Survey No. 72/2 & 72/5 Vs. Bengaluru 560095 Doddakananahalli Village Varthur Hobli, Bengaluru East Taluk, Bengaluru 560103 PAN – AAACH4151J Appellant Respondent Appellant by: Smt. Shreya Loyalaka, Advocate Respondent by: Shri Sumer Singh Meena, CIT-DR Date of Hearing: 30.03.2022 Date of Pronouncement: 30…

The Commissioner of Income Tax - International Taxation - 2 vs. Mol Corporation

ITA/267/2017HC Delhi19 May 2022

…ITA 267/2017 Page 1 of 3 $~20 * IN THE HIGH COURT OF DELHI AT NEW DELHI + ITA 267/2017 THE COMMISSIONER OF INCOME TAX - INTERNATIONAL TAXATION – 2 ..... Appellant Through: Mr. Kunal Sharma, Advocate. versus MOL CORPORATION ..... Respondent Through: Mr. Nageswar Rao and Ms. Deepika Agarwal, Advocates. % Date of Decision: 19th May, 2022 CORAM: HON’BLE MR. JUSTICE MANMOHAN HON’BLE MS. JUSTICE MANMEET PRITAM SINGH ARORA J U D G M E N T MANMOHAN, J (Oral): 1. Present appeal has been filed by the Revenue challenging the remand order passed by the Income Tax Appellate Tribunal (‘ITAT’). The relevant portion of the impug…

The Commissioner of Income Tax - International Taxation -2 vs. Mol Corporation

ITA/419/2019HC Delhi19 May 2022

…ITA 419/2019 Page 1 of 3 $~18 * IN THE HIGH COURT OF DELHI AT NEW DELHI + ITA 419/2019 THE COMMISSIONER OF INCOME TAX - INTERNATIONAL TAXATION -2 ..... Appellant Through: Mr. Ruchir Bhatia and Ms. Mansie Jain, Advocates. versus MOL CORPORATION ..... Respondent Through: Mr. Nageswar Rao and Ms. Deepika Agarwal, Advocates. % Date of Decision: 19th May, 2022 CORAM: HON’BLE MR. JUSTICE MANMOHAN HON’BLE MS. JUSTICE MANMEET PRITAM SINGH ARORA J U D G M E N T MANMOHAN, J (Oral): 1. Present appeal has been filed by the revenue challenging the remand order passed by the Income Tax Appellate Tribunal (‘ITAT’). The relevant…

Tibco Software Bv, Pune vs. Assistant Commissioner of Income-Tax, (It), Circle-2, Pune

In the result, the appeal filed by the assessee in ITA

ITA 1348/PUN/2019[2011-12]Status: DisposedITAT Pune17 May 2022AY 2011-12

Bench: Shri Inturi Rama Rao & Shri S.S. Viswanethra Ravisl.

For Appellant: Shri Somil AgarwalFor Respondent: Shri Deepak Garg
Section 144C(13)Section 234BSection 274

…finally submitted that the reasoning of the lower authorities in treating the software license fee as Royalty was not approved by the Hon’ble Supreme Court in the case of Engineering Analysis Engineering Analysis Centre of Excellence Pvt. Ltd. Vs. CIT (2021) 432 ITR 472 (SC). 11. The ld. CIT-DR placing reliance on the orders of the lower authorities justified the action of bringing to tax the software license fee of Rs.26,02,184/- as Royalty. 12. We heard the rival submissions and perused the material on record. The appellant company granted the software license fee on non-exclusive non-transferable basis during…

Tibco Software Bv, Pune vs. Assistant Commissioner of Income-Tax, (International Taxation), Circle -2, Pune

In the result, the appeal filed by the assessee in ITA

ITA 1554/PUN/2018[2015-16]Status: DisposedITAT Pune17 May 2022AY 2015-16

Bench: Shri Inturi Rama Rao & Shri S.S. Viswanethra Ravisl.

For Appellant: Shri Somil AgarwalFor Respondent: Shri Deepak Garg
Section 144C(13)Section 234BSection 274

…finally submitted that the reasoning of the lower authorities in treating the software license fee as Royalty was not approved by the Hon’ble Supreme Court in the case of Engineering Analysis Engineering Analysis Centre of Excellence Pvt. Ltd. Vs. CIT (2021) 432 ITR 472 (SC). 11. The ld. CIT-DR placing reliance on the orders of the lower authorities justified the action of bringing to tax the software license fee of Rs.26,02,184/- as Royalty. 12. We heard the rival submissions and perused the material on record. The appellant company granted the software license fee on non-exclusive non-transferable basis during…

Xchanging Solutions Limited, Bangalore vs. The Assistant Commissioner of Income Tax, Circle-7(1)(1), Bangalore

In the result, grounds 20 to 23 are allowed for statistical purposes

ITA 294/BANG/2021[2016-17]Status: DisposedITAT Bangalore12 May 2022AY 2016-17
For Appellant: Sri.Padamchand Kincha, CAFor Respondent: Dr.Manjunath Karkaihalli, CIT-DR
Section 139(1)Section 143(3)Section 144BSection 144C(13)Section 144C(5)Section 40

…cially, clause 9, wherein he emphasized that the assessee does not acquire any right, title or interest in any IPR (refer page 599 of the paper book). The Hon’ble Apex Court in the case of Engineering Analysis Centre of Excellence (P.) Ltd. v. CIT reported in 432 ITR 471 had clearly held that amounts paid by the resident end users to non-resident computer software manufacturer / suppliers for use of computer 33 IT(TP)A No.294/Bang/20201 M/s.Xchanging Solutions Limited software through EULA is not payment of royalty for the use of copyright in computer software and the same does not give rise to any income taxabl…

M/S Ray & Keshavan Associates Private Limited (Now Known As Bu India Private Limited), Mumbai vs. Deputy Commissioner of Income Tax-Circle-1(1)(2), Bengaluru

In the result, the appeal filed by the assessee is partly allowed

ITA 603/BANG/2020[2010-11]Status: DisposedITAT Bangalore11 May 2022AY 2010-11

Bench: Shri George George K, Jm & Shri Laxmi Prasad Sahu, Am

For Appellant: Sri.Chinthan Ghelani, AdvocateFor Respondent: Sri.Sankarganesh K., JCIT-DR
Section 195Section 40

…is towards license fee in respect of the use of software. The said issue is no Page 6 of 9 ITA No. 723/Bang/2020 more res integra by the decision of Hon’ble Supreme Court in case of Engineering Analysis Centre of Excellence Pvt.Ltd. vs CIT reported in (2012) 432 ITR 471. It is not the case of revenue that there is a transfer of right to use in respect of these software is owned by Brand Union worldwide Ltd. It is also not disputed by the revenue that, these software are developed by the parent company. Instead we note that Brand Union worldwide Ltd., has been procured these software and has allotted to the group…

Vodafone Idea Limited, Hyderabad vs. Dy. Commissioner of Income Tax, Circle-14(2), Hyderabad

In the result, the appeals and cross objections of the assessee for the Asst Years 2002-03 and 2003-04 are allowed and appeals of the revenue are dismissed

ITA 1919/HYD/2019[2010-11]Status: DisposedITAT Hyderabad05 May 2022AY 2010-11

Bench: Shri Laliet Kumar & Shri Laxmi Prasad Sahu

For Appellant: Shri Ronak DoshiFor Respondent: Shri Rajendra Kumar(CIT-DR)
Section 133ASection 194HSection 194JSection 201(1)Section 9

…IN THE INCOME TAX APPELLATE TRIBUNAL HYDERABAD BENCHES “A”: HYDERABAD BEFORE SHRI LALIET KUMAR, JUDICIAL MEMBER AND SHRI LAXMI PRASAD SAHU, ACCOUNTANT MEMBER ITA Nos. 1913, 1914, 1915, 1916, 1917, 1918 & 1919/Hyd/2019 A.Ys.: 2004-05, 2005-06, 2006-07, 2007-08, 2008-09, 2009-10 & 2010-11 Vodafone Idea Ltd., Vs. Dy. Commissioner of Hyderabad. Income-tax, Circle – 14(2), PAN – AAACB 2100P Hyderabad. Assessee by: Shri Ronak Doshi Revenue by: Shri Rajendra Kumar(CIT-DR) Date of hearing: 25/04/2022 Date of pronouncement: 05/05/2022 O R D E R PER BENCH.: All these appeals of the Assessee are directed against the CIT(A…