Assessee has granted a nontransferable, non-exclusive, non-assignable license to incorporate the software into the vehicles manufactured/sold by MG to the end customers.  No rights have been provided to make copies of software products or to modify, merge or combine with other software. No right to change the object code from source code and make any derivative products from that have been provided. Technical documentation for the software remained the property of the assessee.  All intellectual property rights in the licensed products belong to the assessee and its licensors only. Assessee has not transferred the copyright/right to use the copyright of the software but merely the copyrighted software. The payments received by the assessee is for the supply of software do not fall within the scope of art. 12(3) of the India-China DTAA. In the absence of PE the income is not taxable in India. (AY. 2020-21)