GST Rate of Goods being mined will apply for Royalty paid for Mining lease ,liable for Reverse Charge : AAR

i. The royalty paid by M/s NMDC in respect of mining lease is classifiable under sub heading 997337 ; ‘Licensing services for the right to use minerals including its exploration and evaluation’ (covered under entry no. 17 of Notification No. 11/2017 (Rate), dated 28.06.2017, attracting GST at the same rate as applicable for the supply of like goods involving transfer of title in goods, undeRead More…

Income Tax on Royalty : Free Study Material

Income Tax on Royalty : Free Study Material Here is the free study material on Income Tax on Royalty Payments for marketing and distribution rights is taxable royalty : ITAT Payment for purchase of software without any copyright is not royalty, No TDS u/s 195 Payment for broadcasting rights of Olympic games isn’t royalty :Federal Court of Australia Payment for broadcasting of TV progrRead More…

Payments for marketing and distribution rights is taxable royalty : ITAT

Payments for marketing and distribution rights held taxable royalty The Bangalore Bench of the Income-tax Appellate Tribunal held that payments for marketing and distribution rights of an “adwords” program were taxable as income. Under the adwords program’s distribution and service agreements, the taxpayer was licensed to use certain confidential information, technical know-how, trade mark,Read More…

Payment for purchase of software without any copyright is not royalty, No TDS u/s 195

Held The assessee has acquired a readymade off – the shelf computer programme to be used in their business and no right was granted to the assessee to utilize the copy right of the programme and, therefore, consideration cannot be treated as royalty. As held by the CIT(A), the payments made by the assessee company cannot be held as ‘royalties’ coming into the ambit of Article 12 of DTAA or ‘fee fRead More…

Payment for broadcasting rights of Olympic games isn’t royalty :Federal Court of Australia

Issue is whether s 128B of the Income Tax Assessment Act 1936 (ITAA 1936) applied to payments that Seven Network Limited (Seven), a resident of Australia, paid to the International Olympic Committee (IOC), a resident of Switzerland, between March 2006 and August 2008 for the broadcasting rights to the Olympic Games. Whether s 128B of the ITAA 1936 applied to the payments turns on whether the paymeRead More…

Royalty or Business Profits? Closer look at Australia/India Treaty

11 October 2016 Jenny Wong analyses a recent Federal Court decision regarding Australia’s rights to tax payments to an Indian company in Australia. The Full Court handed down its decision for Tech Mahindra Limited v Commissioner of Taxation [2016] FCAFC 130 (22 September 2016). The case concerns the Australia and India Treaty and whether Australia had the right to tax payments for servicRead More…

Sale of computer software by Non Resident not Taxable in India

Held To fall within the realm and ambit of right to use copyright in the computer software programme, the aforesaid rights must be given and if the said rights are not given then, there is no copyright in the computer programme or software. As noted by the CIT (A), under the terms of the agreement between the assessee and INFOR India, the agreement specifically forbids them from decompiling, reveRead More…