Income from granting access to data base is not Royalty under India-USA DTAA

OVID Technologies Inc. Vs DCIT (ITAT Delhi) In the case in hand, the revenue derived by the assessee from granting limited access to its data base is akin to sale of book, wherein purchaser does not acquire any right to exploit the underlying copyright. When the purchaser reads the book, he only enjoys the content. Similarly, user of the data base does not receive the right to exploit the copyright in the database, he only enjoys the product in the normal course of his Facts on record show that the appellant is granting access to its data base. Transaction under consideration is for provision ...