MissingRainbow writes: "To avoid paying taxes in India, Microsoft wanted the court to believe that it is selling its product and that there are no royalty payments involved. But their EULA states "the product is licensed, not sold". Microsoft's own EULA worked against them in this particular case. "Royalty, under domestic law, is taxable at 15%. With the addition of interest payable for all these years, the total tax liability could be about Rs 700 crore." The court ruled against Microsoft."