(1)   Notwithstanding anything contained in this Ordinance where any consideration by way of royalty, referred to in the Explanation to sub-section (4) of section 12 is received or is deemed to be received by, or accrues or arises or is deemed to accrue or arise to, a non-resident, the whole of such consideration shall be deemed to be income of the non-resident and tax thereon shall be charged at the rate of fifteen per cent of such income.

(2)   A non-resident referred to in sub-section (1), or an agent authorised by the non-resident to receive such royalty on his behalf, shall prepare and furnish to the Deputy Commissioner within thirty days from the last day of each period of six months in every financial year, that is to say, the thirty-first day of December and the thirtieth day of June respectively, a return, in respect of each such period of six months as aforesaid, showing therein full particulars of the income referred to in the said sub-section and tax deducted thereon.

(3)   On receipt of such return, the Deputy Commissioner may, after calling for such particulars, accounts or documents as he may require, determine the income referred to in sub-section (2) and charge tax thereon in accordance with the provisions of this section.

(4)   Nothing contained in this Ordinance shall be so construed as to allow any expense against the income determined under sub-section (3).

(5)   The tax paid under this section shall, to the extent that the income of the non-resident is chargeable under this section, be deemed to be the final discharge of his tax liability under this Ordinance and he shall not be required to file the return of total income under section 55 nor shall claim any refund or adjustment on the basis of such return.