06 September 2023
Wheather TDS is applicable on the purchase of software from Abraod ?
This purchase is in the nature where purchaser is purchasing it for end use on subscription basis and not for resale, doest it fall under Royalty now ? and attract TDS ?
Kindly answer on specific note, section and caselaw
But in the case law you mentioned sir taxpayer is in fact in the position of a distributor or end consumer that only has the right of sale over the software. Hence, no liability of TDS can be imposed on such payments, as they are not royalty fees. In the case i mentioned consideration was made on behalf of allowing the use of and/or the right to use such computer software or program. Is this covered under Royalty now and not the case that the apex court mentioned ? This in turn makes my case attract TDS as it is a Royalty
CAclubindia
