Monday, 25 August 2014

Payment to group company for use of intranet facility is 'royalty', Karnataka HC says

IT/ILT: Where assessee, engaged in rendering information technology solutions to companies within CGI Group and other global customers, entered into an agreement with CGI Group Inc., a Canada based company, whereby assessee got a right to use intranet facilities belonging to Canadian company for rendering aforesaid services, payment made by assessee for utilising those facilities amounted to royalty liable to tax in India


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