« Top Headlines » Open DEMAT Account in 24 hrs  Mock Test Papers Series - I & II for Students appearing in CA Foundation January 2027 Examination.  Income Tax Rules 2026: CBDT Introduces Revised Form 161 for Penalty Waiver, Clarifies Misreporting Categories and Taxpayer Relief  ITR Filing and Income Tax Audit Deadline Extended: 5 Critical Things Taxpayers Must Know  Filing Belated ITR for AY 2026-27? Know Which Losses You Can Carry Forward and Which You May Lose  CBDT Extends Tax Audit Report Deadline to October 21, ITR Filing Last Date to November 21 for AY 2026-27  CBDT Extends AY 2026-27 ITR Filing Deadline for Tax-Audit Cases: New Dates and Key Compliance Details  Foreign Assets Missing From Your ITR? Income Tax Department Opens One-Time Disclosure Window  Tax Audit Deadline September 30: Why AIS, TDS and GST Figures May Not Match Your ITR and What Taxpayers Should Do  Tax audit deadline September 30: Common mistakes taxpayers should avoid  Your ITR says ‘verified’, but the refund hasn’t arrived? 5 reasons why your money could be stuck  Missed the ITR Deadline but TDS Refund Is Due? Here’s How You Can Still Claim Your Money «  Cost Inflation Index grows five-fold in 25 years... Disallowance and DTAAs... » Qualcomm Indian arm pays Rs 1 cr service tax September, 23rd 2006 Confusion over entities liable to pay levy on royalty. Qualcomm India Pvt Ltd (QIPL), the Indian arm of the US-headquartered CDMA patent-holder Qualcomm Inc, has paid over Rs 1 crore as service tax under business auxiliary services. The payment comes following a notice that was sent to the company's Mumbai office by the Service Tax Department. According to a service tax official, QIPL has, in its declaration to the department, profiled itself as a "separately-registered independent company" attending only to the customer and marketing-related services of the patent-holding company. "QIPL began operations only a couple of years ago. We were trying to claim service tax on royalty collected. Now that they are disassociating themselves from Qualcomm Inc, the onus to pay service tax on royalty falls on companies accepting the technology," another official said. As per rules, the patent holder has to pay a certain percentage of money as service tax on royalties collected. If the patent holder (in the case of a foreign company) has offices/branches in India, the patent holding company has to pay service tax on royalty collected. If the patent holder is a foreign company or foreign national, but with no offices or branches in India, the recipient Indian company (user of the patented product) has to pay service tax on royalty paid. The department had also approached several Indian telecom companies, including Reliance Infocomm, Tata Teleservices and MTNL, in their capacities as clients of Qualcomm. "Barring Tata Teleservices, none of them have given us sufficient details to go ahead in our investigation. Tata Tele is said to have remitted a substantial sum of money with Qualcomm for accepting their technology. But another major player has said that they have not paid `any significant sum of money' to Qualcomm," said a senior officer. Team reallocated Meanwhile the investigation team handling this case has been disbanded and re-allocated to other tasks in the department. "Investigation into this case will not stop here, we will take serious note of tax evasions," said Mr Satyendra Jeet Singh, Mumbai's Commissioner of Service Tax. Shailesh Menon