Microsoft License Fee allowable as Revenue Expenditure: Karnataka HC

CGI Information Systems and Management Consultants (P.) Ltd Vs ITO (Karnataka High Court) Karnataka High Court has delivered a significant judgment in favor of CGI Information Systems and Management Consultants (P.) Ltd. in its appeal against an Income Tax Appellate Tribunal (ITAT) order for the Assessment Year 2003-04. The High Court addressed several key questions of law, largely overturning the ITAT’s previous decisions and providing clarity on the tax treatment of software license fees, provisions for expenses, and foreign tax credits. The appeal primarily centered on six questions o...