Assessee a UK based company, telecommunication service provider was primarily engaged in business of providing mobile and broadband services in United Kingdom.Vodafone (VIL) a licensed telecommunication service provider in India entered into an agreement with assessee to provide roaming services to its customers travelling to UK.In lieu of said services VIL paid roaming charges to assessee. Assessee did not file return on ground that roaming services were rendered outside India i.e., in UK therefore, income did not accrue or arise in India. Assessing Officer held that roaming charges received by assessee were in nature of royalty on ground that it involved NTO (Non-resident Telecom Operator assessee) sharing information with RTO/VIL (Resident Telecom Operator) concerning working of, or use of process employed in telecom network of NTO to allow transit of telecom traffic generated by RTO/VIL and  held that amount received by assessee was covered within scope of “process” and taxable as royalty under Act as well as India-UK DTAA. On appeal the Tribunal held that  process employed for rendering roaming services was not at all exclusively held by assessee or VIL and it was a standard process employed by all telecom operators around world including VIL in India.Since VIL could not provide services to its customers who travelled to UK as it did not have any facility or infrastructure in UK and arrangement with assessee was made only to provide services to its customers whenever they travelled to UK, roaming charges would not fall within scope and meaning of royalty under section 9(1)(vi).  (AY. 2014-15)