Dismissing the appeal of the Revenue the Court held that the Tribunal was justified in holding that the income received from supply of conditional access systems and middleware products to Indian customers did not fall under “royalty” as defined under section 9(1)(vi) of the Income-tax Act, 1961, and article 12(3) of the Double Taxation Avoidance Agreement between India and Switzerland. SLP of Revenue is dismissed. (AY.2017-18)
CIT (IT) v. Nagravision S. A. (2024)461 ITR 146/ 297 Taxman 65 (SC) Editorial : CIT (IT) v. Nagravision S. A. (2023) 157 taxmann.com 457/ (2024) 461 ITR 143 (Delhi)(HC).
S. 9(1)(vi) : Income deemed to accrue or arise in India-Royalty-Computer software- Sale of conditional access systems and middleware products to Indian customers- Not taxable as royalty-SLP dismissed-DTAA-India-Switzerland.[art 12(3)]