Payment for purchase of software is considered as royalty if it’s a right to use of software and not as a product

CA Suraj R. Agrawal Case Summary:- Facts of the case: 1. The Assessee entered into an agreement with M/s Track Health Pty. Limited, Australia (hereafter ‘THPL’) captioned “VAR Agreement”. 2. The Assessee had also entered into an agreement with M/s Speed Miners, Malaysia which is stated to be similar to the ‘VAR Agreement’ entered into by the Assessee with THPL. 3. In terms of the agreements, the Assessee had paid a sum of Rs. 66,87,509 and Rs. 9,35,987/- to THPL and M/s Speed Miner respectively. 4. According to the AO, the said payments of Rs. 66,87,509/- and Rs.9,...