Expense towards purchase of off-the-shelf software products doesn’t qualify as Royalty

Amec Foster Wheeler India Pvt. Ltd. Vs ACIT (OSD) (ITAT Chennai)

ITAT Chennai held that the expenditure incurred towards the purchase of the off-the-shelf software products is not in the nature of “Royalty” for use of copyright in the software and thus not liable for withholding of tax u/s.195 of the Act.

Facts-

The appellant challenges the order of CIT(A) confirming the action of AO in making disallowance of cost incurred in connect

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