Should foreign units that have transferred computer programs to Lithuanian units be liable for corporate income tax at source

When foreign units transfer computer programs, they must pay corporate income tax at source at a rate of 15% in case the transfer is not of a copyrighted item but of the following rights in the computer program:

• the right to make copies of a computer program for the purpose of public distribution or other transfer of ownership, lease or loan; or
• the right to develop derivative computer programs which are to be subject to copyright by using a computer program copyrighted by the foreign unit; or
• the right to publicly display a computer program.

When foreign units grant rights other than listed above when transferring or selling a computer program to Lithuanian units (regardless of whether the copyrights of those computer programs belonging to the foreign units are included in the transfer), such income is not subject to corporate income tax at source.