Interconnect Usage Charges Not Taxable as Royalty: ITAT Bangalore

HCG Global Communications Ltd. Vs DCIT (ITAT Bangalore) In the case of HCG Global Communications Ltd. Vs DCIT before the ITAT Bangalore, it was held that interconnect usage charges received by a foreign company from an Indian telecom operator are not taxable as “royalty” under the Income Tax Act. This decision was based on the judgment of the jurisdictional High Court and supported by several tribunal rulings. The ITAT Bangalore addressed an appeal filed by HCG Global Communications Ltd. against the Final Assessment Order dated 24.11.2020, under section 147 r.w.s. 143(3) r.w.s. 144...