Consideration for sale of software with associated hardware cannot be treated as royalty

Autodesk Asia Pte. Ltd. Vs ACIT (ITAT Bangalore) It was the case of the assessee that the sale of software / hardware was made outside India and the proceeds received from Indian distributors / customers was received by the assessee outside India. In the draft Order of Assessment, the AO treated the money received by the assessee on sale of software licence along with associated hardwares to the Indian customers as in the nature of royalty and brought the same to tax. The assessee filed the objections before the Dispute Resolution Panel (DRP) against the action of the AO but the DRP confirmed ...