Licensing of software products of Microsoft in India not taxable as Royalty

CIT (International Taxation) Vs Gracemac Corporation  (Delhi High Court) High court held that licensing of software products of Microsoft in the Territory of India by the Respondent was not taxable in India as Royalty under Section 9(1)(vi) of the Act read with Article 12 of the Indo US DTAA. FULL TEXT OF THE JUDGMENT/ORDER OF DELHI HIGH COURT 1. Present appeals have been filed under Section 260A of the Income  Tax Act, 1961 [for short ‘Act’] challenging the judgment and order passed by ITAT on 16th November, 2020 for the Assessment Years 2005-2006 and 2007-08. 2. Learned counsel for t...