Payment for transponder service is ‘royalty’; ITAT refers Explanation 6 to sec. 9(1)(vi) to interpre

IT/ILT: Payment of fees for use of transponder service is 'royalty' taxable under Article 12 of India-USA DTAA - Held, Yes - Since, the word 'process' as used in Article 12 of India-US DTAA has not been defined in the DTAA, its meaning shall be interpreted as per Income-tax Act, 1961 in view of Article 3(2) of said DTAA - Held, Yes - The use of transponder for broadcasting programme involves transmission by satellite which falls in the expression 'process' as per Explanation 6 of Section 9(1)(vi