Income Deductions for Royalty or Copyright fees

80QQB

Individual being a Resident in India

Where the Author (including Joint Author) has Income derived by way of

• Lump sum consideration for the assignment or grant of any of his interests in the Copyright of any book being a work of literary, artistic or scientific nature

• Royalty or Copyright Fees (whether Lump sum or Otherwise) in respect of such book.

The deduction shall be allowed only if -

• The assessee is Resident Individual

• Valid Certificate in Form No.10CCD from Publisher should be furnished.

• Income earned outside India should be brought into India in convertible foreign exchange within 6 months of the end of the Previous Year or the time extended by RBI.

• Valid Certificate in Form No.10H should be furnished for income earned from source outside India.

In case of Lump sum Consideration, least of the following: -

• Royalty

• Convertible Foreign Exchange brought into India, up to 6 months from end of the previous year.

• Rs. 3,00,000

Other than Lump sum Consideration, least of the following: -

• Royalty or Fees (not in excess of 15% of total sale value of the book) Less Expenditure Incurred.

• Convertible Foreign Exchange brought into India up to 6 months from end of the previous year.

• Rs. 3,00,000

80RRB

Individual being

• Resident in India

• A Patentee; and

• In receipt of income by way of royalty in respect of patent registered on or after 01.04.2003 under the Patents Act, 1970

Income derived by such a Patentee by way of Royalty or Lump Sum Payment.

The deduction shall be allowed only if -

• The assessee is Resident Individual

• Valid Certificate in Form No.10CCE is to be furnished by the assessee, duly signed by the prescribed authority, viz., Controller General of Patents, Designs and Trademarks.

• Valid Certificate in Form No.10H from RBI (or its authorised persons) should be furnished along with the return of income for income earned from source outside India.

Least of the following: -

• Royalty

• Convertible Foreign Exchange brought into India, up to 6 months from end of the previous year

• Rs. 3,00,000