Data Transmission Services not amounts to Royalty as per Indo-Thai DTAA

CIT Vs Thaicom Public Company Ltd. (Delhi High Court)

High Court dismissed the appeal filed by assessee stating that there is no question of law arises. Data Transmission Services did not amount to royalty in terms of Article 12 of the Indo-Thai Double Taxation Avoidance Agreement.

FULL TEXT OF THE HIGH COURT ORDER /JUDGEMENT

The appellant challenges the decision of the Income Tax Appellate Tribunal (ITAT) which ruled that Data Transmission Services did not amount to royalty in terms of Article 12 of the IndoThai Double Taxation Avoidance Agreement. This issue was covered by the decision of this Court in ‘Director of Income Tax vs. New Skies Satellite BV’, (2016) 382 ITR 114.

No question of law therefore arises. The appeal is dismissed along with the pending application.