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2021 (10) TMI 14 - ITAT MUMBAIIncome accrued in India - Taxability of infrastructure data centre (IDC) charges as royalty - HELD THAT:- As decided in own case [2021 (1) TMI 76 - ITAT MUMBAI] we hold that IDC charges received by the assessee is not in the nature of royalty. Accordingly, additions are deleted. Addition of other service charges (referral fee) as royalty - HELD THAT:- As decided in own case [2021 (1) TMI 76 - ITAT MUMBAI] we hold that referral fee received by the assessee is not in the nature of royalty. Accordingly, addition made in both the assessment years under dispute is deleted. Respective ground is allowed. Addition of member login fee as royalty - HELD THAT:- As decided in own case [2020 (7) TMI 644 - ITAT MUMBAI] Assessee merely provides a standard facility to the Indian entity without granting any exclusive right in respect of any copyright, process, etc. It is further relevant to observe, learned DRP, while deciding the issue has clearly and categorically observed that member login services are similarly to IDC services. If that is the factual position, the member login fee cannot be treated as royalty since, while deciding assessee's appeal challenging the taxability of fees received towards IDC services, the Tribunal has consistently expressed the view that the services cannot be treated as royalty under the India-Singapore Tax treaty. In aforesaid view of the matter, we hold that member login fee is not in the nature of royalty under the treaty provision. Accordingly, addition is deleted.
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