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Tax on Software downloaded from Internet

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(Querist)
31 December 2010 One of my client is selling customised software in India.The Software is downloaded in India thru internet from the seller based in Germany. Then the seller based on Germany sends him invoice for the downloaded software.

Kindly advise what will be the taxes he has to pay (Custom/Excise or Service Tax) and on what value.
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CA Shailesh Kumar Bhagat

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CA Shailesh Kumar Bhagat (Expert)
31 December 2010 custom duty will be payable in case of customized software.

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