Taxation of Copyright Royalties in India - Interplay of Copyright Law and Income Tax

Abstract

The book is a thematic commentary on the law relating to taxation of royalty payments in respect of copyright both under the Income-tax Act, 1961 and tax treaties. The book deals with payments for transfer of rights in respect of copyright and for the use of copyright, to give a sharply focussed view on the subject. The book dives deep into the various facets of copyright law as well as analyses the differences in copyright laws of various countries and their impact on income taxation. The book discusses the rich jurisprudence from the United States, the United Kingdom, Poland, Canada, and other countries and examines their relevance for taxation. The commentary first explores the concepts of nature of copyright; the varying consequences of ownership, licence, and assignment of copyrighted works; copyright royalty under tax laws and treaties before delving into the specific scenarios that arise in case of software, cinematographic films, broadcasts, and databases. The author has also addressed questions of law owing to digitisation and the internet. The controversies surrounding characterisation of software payments made by the end users and the resellers are analysed. The book analyses the changes made to the OECD Model Convention Commentary on Article 12 on Royalties in respect of software payments. Published by Oakbridge Publishing P Ltd (2019).