2015 (3) TMI 1226 - DELHI HIGH COURT

Claim of deductions under Section 10A - whether the deduction should be allowed to the Assessee under Section 10A, on the ground that it is indeed entitled to the benefit under the particular provision? - Held that:- The assessee is involved in providing back office support and thereby entitled to the benefit under the definition of the term "computer software". Its activities are in the nature of data processing, customization of data, acting as the back office of the parent company and acting as support center to the parent company. Clearly it could not have been deprived of the benefit of Section 10A, as is argued by the revenue. This contention is accordingly rejected as unmerited. - Decided in favour of assessee

Transfer pricing adjustment - selection of comparable - Held that:- If the comparable is functionally same as that of tested party then same cannot be rejected merely on the ground that data for entire financial year is not available. If from the available data on record, the results for financial year can reasonably be extrapolated then the comparable cannot be excluded solely on the ground that the comparables have different financial year endings.