Assessee-Belgian company provided information and communication services to one of its AE in India. The AO held that amount received was in relation to computer software and/or for use of process or for rendering services in relation to those items and such transfer of right to use a computer software would come within purview of royalty as per Explanation 4 to section 9(1)(vi) which was introduced with retrospective effect from 1-6-1976. On appeal Tribunal held that in view of fact that no corresponding amendment was made to definition of royalty in India-Belgium DTAA that was similar to Explanation 4 to section 9(1)(vi), payment for transfer of use or right to use of computer software could not be treated as royalty under impugned tax treaty. Tribunal also held that software was inseparable part of imaging equipment’s/MRI machines sold, payment made to foreign AE on purchase of software would not be in nature of royalty. (AY. 2015-16)