Transponder Charges cannot be treated as ‘Royalty Income’ despite amendment to section 9(1)(vi)

ACIT Vs Viacom18 Media Private Limited (ITAT Mumbai) Ld.CIT(A) referred to master agreement between the assessee and Intersat Corporation, USA to highlight the services of transponding facility provided by the party. The Ld.CIT(A) has noted that while passing the order dated 28/03/2014, 04/02/2015 and 10/02/2015 in assessee’s own case, the Tribunal was not having any benefit of the decision of the Hon’ble Bombay High Court in the case of New Sports Broadcast Pvt Ltd (ITA 1487 of 2018) and, therefore, transponder payments were held to be royalty, taxable under the Act / Treaty. However, sub...