Case Law Details
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 of accessing data base of the assessee. Hence the same cannot be considered as royalty under Article 12 of the India USA – DTAA.
FULL TEXT OF THE ORDER OF ITAT DELHI
Both the above captioned separate appeals by the assessee are preferred against the separate orders of the CIT(A) -23 dated 01.06.2018 and ld. CIT(A) – 43 dated 28.02.2019 pertaining to Assessment Years 2013- 14 and 2014-15 respectively.
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