Tds on ms office standard licence
This query is : Resolved
17 December 2012
Hi,
Can anybody confirms the applicability of TDS on MS Office Standard Open Licence.
The Vendor Charged Service Tax & VAT both on the above description and the value of the same is 5 lakh.
Thanks.
Can anybody confirms the applicability of TDS on MS Office Standard Open Licence.
The Vendor Charged Service Tax & VAT both on the above description and the value of the same is 5 lakh.
Thanks.
17 December 2012
In my view TDS not required to be deducted since it is an Off the Shelf Software. It is a simple transaction of sale.
Views of other experts awaited.
Views of other experts awaited.
17 December 2012
Hi Sanjay,
Whether below definition applicable for this?
Finance Act 2012 has amended the definition of “royalty”. The amendment in section section 9 (1) (vi) now defines ‘royalty’ as any ‘right for use’ or ‘right to use’, a computer software (including granting of a license), irrespective of the medium through which such right is transferred.
Section 194J provides for deduction of tax at source on payment of professional fees, technical fees, directors remuneration and royalty payments
Hence payments towards right to use computer software will be liable to tax deduction at source under section 194J @ 10%
Whether below definition applicable for this?
Finance Act 2012 has amended the definition of “royalty”. The amendment in section section 9 (1) (vi) now defines ‘royalty’ as any ‘right for use’ or ‘right to use’, a computer software (including granting of a license), irrespective of the medium through which such right is transferred.
Section 194J provides for deduction of tax at source on payment of professional fees, technical fees, directors remuneration and royalty payments
Hence payments towards right to use computer software will be liable to tax deduction at source under section 194J @ 10%
17 December 2012
In case you are buying license this rule will apply and TDS will have to be deducted u/s 194J.
17 December 2012
Agreed with above opinion.....
Purchase of Licenced version of any software covered by sec 194J, hence TDS will have to deducted provided other criteria of 194J are fulfilled...
Rgds,
CA Hiren Thakkar
Purchase of Licenced version of any software covered by sec 194J, hence TDS will have to deducted provided other criteria of 194J are fulfilled...
Rgds,
CA Hiren Thakkar
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- Is this income indian or foreign income?
- ITC temporary reversal and reclaim
- Inventory of finished goods
- Applicable TDS rate for sale of property in Nov 2024
- Quiery in relation to GST liability in case of an advocate who has obtained GST registration.
- Disallowance of Section 43B(h) to sez units
- REGARDING 25 AS DATE OF PAYMENT AND DATE OF BOOKING
- Sale of property furniture sale
- Can we claim ITC of Feb-2024 in the month of November-2024 which was not claimed by oversight
- Clarification on Documentation of Paid-Up Capital Contribution by Directors
- Redevolpment of bldg in mumbai
- Refund of AY 22-23
- LAST YEAR 2022-23 ITC IN NEXT YEAR 2023-24 REPORITNG IN GSTR-9
- MIS MATCH OF INVOICE NUMBER
- IGST Credit-Show cause notice issued-confusion
- Issue of gst e invoice
- How to adjusted advances given or receipt
- Foreign vendor without PAN unable to to register due to non receipt of OTP on foreign number ?
- 133(6) DIN INVALID format error - ->WHERE TO REPLY 133(6) notice?
- Query for dubts
Trending Online Classes
CAclubindia
