2016 (8) TMI 1163 - PUNJAB AND HARYANA HIGH COURT

TPA - determination of the ‘Arm’s Length Price’ (ALP) - selection of comparables criteria - Held that:- Qualification that the appropriate threshold limit ought to be 75% as the assessee’s export earnings were more than 90% (infact 100%) of the total income need to be adhered for selction of comparable.

Exclusion of of communication charges incurred in foreign currency attributable to delivery of computer software outside India from total turnover in order to compute deduction under section 10AA - Held that:- As in the case of section 10A, so also in the case of section 10AA of the Act, the expression total turnover has not been defined. The export turnover is a part of the total turnover. There is nothing in the section or any other provision of the Act that warrants the exclusion of export turnover from the numerator but not from the denominator i.e. from the total turnover. The plain language certainly militates against such a construction.