Tata Consultancy Services v. State of Andhra Pradesh

271 ITR 401Supreme Court of India2004#381 most cited

What is Tata Consultancy Services v. State of Andhra Pradesh authority for?

The sale of 'canned software' in physical form is the sale of a copyrighted article and constitutes 'goods,' distinct from the underlying copyright. This case provides foundational principles for distinguishing copyrighted works from copyrighted articles and for what qualifies as 'production or manufacturing of goods or articles' under tax laws.

231

judgments rely on this decision, according to BharatTax’s citation analysis of 368,155 Indian tax judgments — from 2010 to 2025.

Also referred to as

Tata Consultancy Services v. State of Andhra Pradesh · TCS v State of AP · 271 ITR 401 · copyright vs copyrighted article · software as goods · royalty income · manufacturing or production of goods · section 32AC · section 32(1)(iia) · electricity generation

Also reported as

141 Taxmann 132137 STC 620

Sections most often in play

Section 143(3)Section 153ASection 153DSection 32(1)(iia)Section 32ACSection 37Section 40A(9)Section 10B(8)

Issues it is cited on

section 274(2)section 243section 245hacasus omissussection 245csettlement applicationsection 245d(4)section 153(4)copyrighted articlesection 144basection 244section 245d

Judgments citing Tata Consultancy Services v. State of Andhra Pradesh

Ngc Network Asia Llc, Mumbai vs. Jdit (It) RG 4, Mumbai

In the result, both the appeals filed by the assessee are treated as partly allowed for statistical purposes

ITA 7631/MUM/2012[2008-09]Status: DisposedITAT Mumbai16 Dec 2015AY 2008-09

Bench: S/Shri B.R.Baskaran (Am) & Amit Shukla, (Jm) सर्वश्री बी.आर.बास्करन, ऱेखा सदस्य एवं अमित शुक्ऱा, न्याययक सदस्य के समक्ष आमकय अऩीर सं./I.T.A. No.7994/Mum/2011 & Ita No.7631/Mum/2012 (ननधधायण वषा / Assessment Year :2007-08 & 2008-09) बनाम/ Ngc Network Asia Llc, Joint Director Of Income Tax C/O S R Batliboi & Co., (International Taxation), Vs. 14Th Floor, The Ruby, Range-4, Senapati Bapat Marg, Scindia House, Tulsi Pipe Road, Ballard Estate, Dadar (W), Mumbai-400038. Mumbai-400028 (अऩीरधथी /Appellant) (प्रत्मथी / Respondent) .. स्थधमी रेखध सं./जीआइआय सं./Pan: Aabcn3136G अऩीरधथी ओय से / Appellant By Shri Porus Kaka & Ms.Sheetal Shah प्रत्मथी की ओय से/Rspondent By Ms.Vandana Sagar सुनवधई की तधयीख / Date Of Hearing : 4.9.2015 घोषणध की तधयीख /Date Of Pronouncement : 16.12.2015 आदेश / O R D E R Per B.R. Baskaran (Am) These Are The Two Appeals Filed By The Assessee Against The Assessment Orders Passed For Assessment Years 2007-08 & 2008-09 In Pursuance Of Directions Issued By The Dispute Resolution Panel (Drp). Since Issues Urged In These Two Appeals Are Identical In Nature, They Are Being Disposed Of By This Common Order, For The Sake Of Convenience.

Section 9(1)(vi)

…आयकर अपीऱीय अधिकरण, म ुंबई न्यायपीठ “एऱ” म ुंबई IN THE INCOME TAX APPELLATE TRIBUNAL “L” BENCH, MUMBAI BEFORE S/SHRI B.R.BASKARAN (AM) AND AMIT SHUKLA, (JM) सर्वश्री बी.आर.बास्करन, ऱेखा सदस्य एवं अमित शुक्ऱा, न्याययक सदस्य के समक्ष आमकय अऩीर सं./I.T.A. No.7994/Mum/2011 And ITA No.7631/Mum/2012 (ननधधायण वषा / Assessment Year :2007-08 and 2008-09) बनाम/ NGC Network Asia LLC, Joint Director of Income Tax C/o S R Batliboi and Co., (International Taxation), Vs. 14th floor, The Ruby, Range-4, Senapati Bapat Marg, Scindia House, Tulsi Pipe road, Ballard Estate, Dadar (W), Mumbai-400038. Mumbai-400028 (अऩीरधथी /Appellant…

At & S India Private Limited, Karnataka vs. DCIT-Range-11, Kolkata

In the result, appeal of Revenue is dismissed and that of assessee’s is allowed

ITA 2305/KOL/2013[2004-05]Status: DisposedITAT Kolkata15 Oct 2015AY 2004-05

Bench: Shri Mahavir Singhand Shri Waseem Ahmed

Section 143(3)Section 195Section 4(1)Section 4(2)Section 40Section 90(2)

…ssessee. The assessee also demonstrated that the payment is not towards royalty. Therefore it is out of the purview of the TDS provision and assessee also cited case law in support of its case as under:- a) Tata Consultancy Services v. State of Andhra Pradesh 271 ITR 401 b) Nokia Networks NY [TS-700-High Court-2012 (Del)] c) B4U International Holdings Ltd case [TS-358-ITAT-2012 (Mum)] d) ITA No. 1448-1449/Kol/2008 (for AY 2002-03 & 2003-04) e) CIT vs. Tejaji Farasram Kharawalla Ltd. (1968) 67 ITR 95 (SC) f) Skycell Communication Ltd. v. DCIT 251 ITR 53 g) Wipro Ltd. v. ITO (2003) 80 TTJ (Bang) ITA No.1160 & 2305…

D.C.I.T Cir - 11, Kolkata vs. M/S at & S India Pvt Ltd, Karnataka

In the result, appeal of Revenue is dismissed and that of assessee’s is allowed

ITA 1160/KOL/2013[2008-09]Status: DisposedITAT Kolkata15 Oct 2015AY 2008-09

Bench: Shri Mahavir Singhand Shri Waseem Ahmed

Section 143(3)Section 195Section 4(1)Section 4(2)Section 40Section 90(2)

…ssessee. The assessee also demonstrated that the payment is not towards royalty. Therefore it is out of the purview of the TDS provision and assessee also cited case law in support of its case as under:- a) Tata Consultancy Services v. State of Andhra Pradesh 271 ITR 401 b) Nokia Networks NY [TS-700-High Court-2012 (Del)] c) B4U International Holdings Ltd case [TS-358-ITAT-2012 (Mum)] d) ITA No. 1448-1449/Kol/2008 (for AY 2002-03 & 2003-04) e) CIT vs. Tejaji Farasram Kharawalla Ltd. (1968) 67 ITR 95 (SC) f) Skycell Communication Ltd. v. DCIT 251 ITR 53 g) Wipro Ltd. v. ITO (2003) 80 TTJ (Bang) ITA No.1160 & 2305…

Asst CIT 12(1), Mumbai vs. Delta Enterprises, Mumbai

ITA 944/MUM/2012[2007-08]Status: DisposedITAT Mumbai09 Oct 2015AY 2007-08

Bench: Shri Shailendra Kumar Yadav & Shri Ashwani Taneja.

For Appellant: Shri Chandra Vijay, D.RFor Respondent: Ms. I. A. Singh, A.R
Section 143(3)Section 32(1)(iia)Section 80I

…of Sales Tax Laws. In the case of State of A.P. vs National Thermal Power Corporation Ltd. (2002) 5 SCC 203, M. P. Cement Manufacturers Association vs. State of Madhya Pradesh (2004) 2 SCC 249 referred to in Tata Consultancy Services vs. State of A.P. (2004) 271 ITR 401, it was held that the electricity was capable of abstraction, consumption and use which, if done dishonestly was punishable u/s 39 of the Indian Electricity Act, 1910. It was held that electric energy could be transmitted, transferred, delivered, stored and possessed, etc., in the same way as any other movable property. It was held that electrici…

CIT vs. Alcatel Lucent Canada

ITA-119/2015HC Delhi27 Feb 2015

…ependently. This software merely facilitates the functioning of the equipment and is an integral part thereof. On these facts, it would be useful to refer to the judgment of the Supreme Court in TATA Consultancy Services Vs. State of Andhra Pradesh (2004) 271 ITR 401 (SC), wherein the Apex Court held that software which is incorporated on a media would be goods and,therefore, liable to sales tax. Following discussion in this behalf is required to be noted:- "In our view, the term "goods" as used in Article 366(12) of the Constitution of India and as defined under the said Act are very wide and include a…

CIT-1 vs. Alcatel Lucent France

ITA/119/2015HC Delhi27 Feb 2015

…ependently. This software merely facilitates the functioning of the equipment and is an integral part thereof. On these facts, it would be useful to refer to the judgment of the Supreme Court in TATA Consultancy Services Vs. State of Andhra Pradesh (2004) 271 ITR 401 (SC), wherein the Apex Court held that software which is incorporated on a media would be goods and,therefore, liable to sales tax. Following discussion in this behalf is required to be noted:- "In our view, the term "goods" as used in Article 366(12) of the Constitution of India and as defined under the said Act are very wide and include a…

Oracle Software India Ltd vs. Commissioner of Income Tax Del

ITA/797/2006HC Delhi25 Nov 2013

Bench: HON'BLE MR. JUSTICE SANJIV KHANNA,HON'BLE MR. JUSTICE SANJEEV SACHDEVA

…rtual image was replicated to produce or duplicate the software. The virtual image was too large to be shown on screen. The Supreme Courthas ftirther observed that softwares were goods as held in Tata Consultancy Services versus State ofAndhra Pradesh, (2004) 271 ITR 401 (SC). The software copyright might remain with the originator of the programme but the moment copies were made and sold, they would be termed as goods. There was no difference between sale of software programme on CD and saleof music on cassettes/CDs. The intellectual copyrights had got incorporated on the media for the purpose oftransfer and, th…

Oracle India Pvt. Ltd vs. Commissioner of Income Tax, Delhi

ITA/417/2009HC Delhi25 Nov 2013

Bench: HON'BLE MR. JUSTICE SANJIV KHANNA,HON'BLE MR. JUSTICE SANJEEV SACHDEVA

…rtual image was replicated to produce or duplicate the software. The virtual image was too large to be shown on screen. The Supreme Courthas ftirther observed that softwares were goods as held in Tata Consultancy Services versus State ofAndhra Pradesh, (2004) 271 ITR 401 (SC). The software copyright might remain with the originator of the programme but the moment copies were made and sold, they would be termed as goods. There was no difference between sale of software programme on CD and saleof music on cassettes/CDs. The intellectual copyrights had got incorporated on the media for the purpose oftransfer and, th…

Oracle Software India Ltd vs. Commissioner of Income Tax Del

ITA/951/2006HC Delhi25 Nov 2013

Bench: HON'BLE MR. JUSTICE SANJIV KHANNA,HON'BLE MR. JUSTICE SANJEEV SACHDEVA

…rtual image was replicated to produce or duplicate the software. The virtual image was too large to be shown on screen. The Supreme Courthas ftirther observed that softwares were goods as held in Tata Consultancy Services versus State ofAndhra Pradesh, (2004) 271 ITR 401 (SC). The software copyright might remain with the originator of the programme but the moment copies were made and sold, they would be termed as goods. There was no difference between sale of software programme on CD and saleof music on cassettes/CDs. The intellectual copyrights had got incorporated on the media for the purpose oftransfer and, th…

Oracle India P.Ltd vs. Commissioner of Income Tax Delhi

ITA/683/2009HC Delhi25 Nov 2013

Bench: HON'BLE MR. JUSTICE SANJIV KHANNA,HON'BLE MR. JUSTICE SANJEEV SACHDEVA

…rtual image was replicated to produce or duplicate the software. The virtual image was too large to be shown on screen. The Supreme Courthas ftirther observed that softwares were goods as held in Tata Consultancy Services versus State ofAndhra Pradesh, (2004) 271 ITR 401 (SC). The software copyright might remain with the originator of the programme but the moment copies were made and sold, they would be termed as goods. There was no difference between sale of software programme on CD and saleof music on cassettes/CDs. The intellectual copyrights had got incorporated on the media for the purpose oftransfer and, th…

Oracle India P.Ltd vs. Commissioner of Income Tax

ITA/287/2008HC Delhi25 Nov 2013

Bench: HON'BLE MR. JUSTICE SANJIV KHANNA,HON'BLE MR. JUSTICE SANJEEV SACHDEVA

…rtual image was replicated to produce or duplicate the software. The virtual image was too large to be shown on screen. The Supreme Courthas ftirther observed that softwares were goods as held in Tata Consultancy Services versus State ofAndhra Pradesh, (2004) 271 ITR 401 (SC). The software copyright might remain with the originator of the programme but the moment copies were made and sold, they would be termed as goods. There was no difference between sale of software programme on CD and saleof music on cassettes/CDs. The intellectual copyrights had got incorporated on the media for the purpose oftransfer and, th…

Oracle Software India Ltd vs. Commissioner of Income Tax

ITA/390/2007HC Delhi25 Nov 2013

Bench: HON'BLE MR. JUSTICE SANJIV KHANNA,HON'BLE MR. JUSTICE SANJEEV SACHDEVA

…rtual image was replicated to produce or duplicate the software. The virtual image was too large to be shown on screen. The Supreme Courthas ftirther observed that softwares were goods as held in Tata Consultancy Services versus State ofAndhra Pradesh, (2004) 271 ITR 401 (SC). The software copyright might remain with the originator of the programme but the moment copies were made and sold, they would be termed as goods. There was no difference between sale of software programme on CD and saleof music on cassettes/CDs. The intellectual copyrights had got incorporated on the media for the purpose oftransfer and, th…

Oracle India Pvt. Ltd vs. Commissioner of Income Tax, Delhi

ITA/461/2009HC Delhi25 Nov 2013

Bench: HON'BLE MR. JUSTICE SANJIV KHANNA,HON'BLE MR. JUSTICE SANJEEV SACHDEVA

…rtual image was replicated to produce or duplicate the software. The virtual image was too large to be shown on screen. The Supreme Courthas ftirther observed that softwares were goods as held in Tata Consultancy Services versus State ofAndhra Pradesh, (2004) 271 ITR 401 (SC). The software copyright might remain with the originator of the programme but the moment copies were made and sold, they would be termed as goods. There was no difference between sale of software programme on CD and saleof music on cassettes/CDs. The intellectual copyrights had got incorporated on the media for the purpose oftransfer and, th…

Oracle Software India Ltd vs. Commissioner of Income Tax Del

ITA/961/2006HC Delhi25 Nov 2013

Bench: HON'BLE MR. JUSTICE SANJIV KHANNA,HON'BLE MR. JUSTICE SANJEEV SACHDEVA

…rtual image was replicated to produce or duplicate the software. The virtual image was too large to be shown on screen. The Supreme Courthas ftirther observed that softwares were goods as held in Tata Consultancy Services versus State ofAndhra Pradesh, (2004) 271 ITR 401 (SC). The software copyright might remain with the originator of the programme but the moment copies were made and sold, they would be termed as goods. There was no difference between sale of software programme on CD and saleof music on cassettes/CDs. The intellectual copyrights had got incorporated on the media for the purpose oftransfer and, th…

Oracle India Pvt. Ltd vs. Commissioner of Income Tax, Delhi

ITA/447/2009HC Delhi25 Nov 2013

Bench: HON'BLE MR. JUSTICE SANJIV KHANNA,HON'BLE MR. JUSTICE SANJEEV SACHDEVA

…rtual image was replicated to produce or duplicate the software. The virtual image was too large to be shown on screen. The Supreme Courthas ftirther observed that softwares were goods as held in Tata Consultancy Services versus State ofAndhra Pradesh, (2004) 271 ITR 401 (SC). The software copyright might remain with the originator of the programme but the moment copies were made and sold, they would be termed as goods. There was no difference between sale of software programme on CD and saleof music on cassettes/CDs. The intellectual copyrights had got incorporated on the media for the purpose oftransfer and, th…

Oracle India Private Limited vs. Commissioner of Income Tax

ITA/25/2012HC Delhi25 Nov 2013

…mage was replicated to produce or duplicate the software. The virtual image was too large to be shown on screen. The Supreme Court has further observed that softwares were goods as held in Tata Consultancy Services versus State of Andhra Pradesh, (2004) 271 ITR 401 (SC). The software copyright might remain with the originator of the programme but the moment copies were made and sold, they would be termed as goods. There was no difference between sale of software programme on CD and sale of music on cassettes/CDs. The intellectual copyrights had got incorporated on the media for the purpose of transf…

Director of Income Tax vs. Infrasoft Ltd

ITA/1034/2009HC Delhi22 Nov 2013
Section 143(3)Section 260ASection 4Section 9(1)(vi)

…icle 12) of DTAA and Section 44D read with Section 115A of the Act. 9. In reply to the said show cause notice, the Assessee company relying on the judgment of the Supreme Court in the case of TATA CONSULTANCY SERVICES VS. STATE OF ANDHRA PRADESH (2004) 271 ITR 401 (SC) (BCAJ) (2005) 1 SCC 308 stated that the moment copies of software programmes were made and marketed, the same become goods which were chargeable to sales tax. The Assessee company further contended that when the software were goods 2013:DHC:6018 ======================================================================= ITA 1034/200…

Commissioner of Income Tax, Del vs. M/S Dewan Chand Satyapal

ITA/87/2003HC Delhi21 Dec 2012

Bench: HON'BLE MR. JUSTICE S. RAVINDRA BHAT,HON'BLE MR. JUSTICE R.V.EASWAR

Section 143(3)Section 260ASection 263Section 80

…ITA Nos. 87/03, 1411, 1541/06 Page 1 * IN THE HIGH COURT OF DELHI AT NEW DELHI RESERVED ON : 05.12.2012 PRONOUNCED ON: 21.12.2012 + ITA NOS. 87/2003 & ITA NOS. 1411/2006 COMMISSIONER OF INCOME TAX …………..Appellant Through : Sh. Sanjeev Sabharwal, Sr. Standing Counsel with Ms. Gayatri Verma and Sh. Puneet Gupta, Jr. Standing Counsel. Vs. M/S. DEWAN CHAND SATYAPAL ………… Respondent Through : Sh. M.S. Syali, Sr. Advocate with Sh. Satyen Sethi, Sh. Arta Trana Panda, Ms. Husnal Syali,…

Commissioner of Income Tax vs. M/S. Dewan Chand Satyapal

ITA-87/2003HC Delhi21 Dec 2012
Section 143(3)Section 260ASection 263Section 80

…ITA Nos. 87/03, 1411, 1541/06 Page 1 * IN THE HIGH COURT OF DELHI AT NEW DELHI RESERVED ON : 05.12.2012 PRONOUNCED ON: 21.12.2012 + ITA NOS. 87/2003 & ITA NOS. 1411/2006 COMMISSIONER OF INCOME TAX …………..Appellant Through : Sh. Sanjeev Sabharwal, Sr. Standing Counsel with Ms. Gayatri Verma and Sh. Puneet Gupta, Jr. Standing Counsel. Vs. M/S. DEWAN CHAND SATYAPAL ………… Respondent Through : Sh. M.S. Syali, Sr. Advocate with Sh. Satyen Sethi, Sh. Arta Trana Panda, Ms. Husnal Syali,…

Nokia Networks Oy vs. Asst. Director of Income Tax

ITA/1138/2006HC Delhi07 Sept 2012

Bench: CASES PERTAINING TO SPL.DIVISION BENCHES

…ndependently. This software merely facilitates the functioning of the equipment and is an integral part thereof. On these facts, it would be useful to refer to the judgment of the Supreme Court in TATA Consultancy Services Vs. State of Andhra Pradesh, 271 ITR 401, wherein the Apex Court held that software which is incorporated on a media would be goods and, therefore, liable to sales tax. Following discussion in this behalf is required to be noted:- “In our view, the term "goods" as used in Article 366(12) of the Constitution of India and as defined under the said Act are very wide and include…