If DTAA does not specifically treat consideration for use of ‘computer software’ as Royalty, such consideration cannot be taxed as Royalty under DTAA

Brief of the Case:

Purchase of a license to use shelf/shrink-wrapped software is purchase of a “product” and not a “copyright”.

Wherever the Government of India intended to include consideration for the use of software as ‘Royalties’, it explicitly provided so in the DTAA with the concerned country (e.g. India-Malaysia DTAA). In case relevant Article of a DTAA does not speci

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