Payment to Microsoft for Software Purchase not amount to ‘Royalty’

DCIT Vs HP Services (Singapore) Pvt. Ltd. (ITAT Delhi) Ground No. 1 is challenge to the deletion of addition made by the AO qua consideration received by the Assessee from various entities on account of sale/supply of software, by treating as “royalty” within the meaning of Article 12(3) of the India-Singapore-DTAA. The claim of the revenue more or less is that transaction of sale of computer software to its customers implicit involved making of multiple copies of the software clearly indicates “transfer of copyright” and therefore the consideration received qua said transactions amoun...