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2021 (6) TMI 845 - AT - Income TaxTDS u/s 195 - assessee received as consideration towards software licensed to Indian distributors/customer - Royalty u/s. 9(1)(vi) of the Act and Art 12 of India-Singapore DTAA - AO also proposed to tax the consideration received from Indian distributors/customers for sale of hardware as royalty on the basis that hardware and software are inseparable and that the software cannot function in the obscene of hardware - HELD THAT:- Respectfully following the above view in case of Engineering Analysis Centre of Excellence Pvt. Ltd. [2021 (3) TMI 138 - SUPREME COURT] we hold that purchase of software in the present facts does not amount to give rise to any taxable income in India as a result of which provisions of sec. 195 of the Act are not attracted. The assessee does not have any obligation to deduct tax at source. Therefore, provisions of sec. 9(1)(vi) along with Explanation 2 is not applicable to present assessee's.
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