Section 8 in The Cost Accounting Records (Electronic Products) Rules, 2001
8. Royalty or Technical Know-How Fee:
The adequate records shall be maintained showing the royalty and/or technical know-how fee including other recurring or non-recurring payments of similar nature if any, made for the products under reference to collaborators or technology suppliers in terms of agreements entered into with them. Such records shall be kept separately in respect of each such collaborator or supplier. The basis of charging such royalty amount, including lump sum payment, to the products, shall be at the point of incidence in accordance with royalty agreement and shall be indicated in the cost records.
