Amendment of section 9
Amendment of section 9.
4. In section 9 of the Income-tax. Act, in sub-section (1), in clause (vi),—
(a) after the existing proviso and before Explanation I, the following proviso shall be inserted, namely: —
"Provided further that nothing contained in this clause shall apply in relation to so much of the income by way of royalty as consists of lump sum payment made by a person, who is a resident, for the transfer of all or any rights (including the granting of a license) in respect of computer software supplied by a non-resident manufacturer along with a computer or computer-based equipment under any scheme approved under the Policy on Computer Software Export, Software Development and Training, 1986 of the Government of India.";
(b) in Explanation 1, for the words "foregoing proviso", the words "first proviso" shall be substituted;
(c) after Explanation 2, the following Explanation shall be inserted, namely: —
'Explanation 3.—For the purposes of this clause, the expression "computer software" shall have the meaning assigned to it in clause (b) of the Explanation to section 80HHE.'.
[Finance (No. 2) Act, 1991]