Dismissing the appeal of the Revenue the Court held that Commission received for rendering support in business operations in printed and on-line sale of books and journals. No special skills or knowledge were required to render services under the agreement. Receipts are not fees for technical services. Subscription received from third-party customers in India for sale of E-Journals, Online Journals and books under Commissionaire agreement. No copy right granted hence not assessable as royalty. (AY. 2013-14)
CIT (IT) v. Springer Nature Customer Services Centre GMBH(2023) 458 ITR 728/ 294 Taxman 167 / 333 CTR 845 (Delhi)(HC)
S. 9(1)(vii) : Income deemed to accrue or arise in India-Fees for technical services-Commission-Rendering support in business operations in printed and on-line sale of books and journals – Receipts are not fees for technical services-Subscription Received from third-party customers in India for sale of E-Journals, Online Journals and books under Commissionaire agreement – No copy right granted-Not assessable as royalty-DTAA-India-Germany. [S.9(1)(vi), Art. 12]