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2016 (3) TMI 1201 - ITAT PUNETPA - selection of comparable - Held that:- As the assessee had declared income from software development, training and product both in the domestic and export market and is off-site developer,companies dissimilar with that of assessee need to be deselected from final list of compatibles. Also where the R&D filter is more than 3% not to be taken in the final list of comparables. Working of profit before depreciation and the allowability of its adjustment - Held that:- In view of our deciding other aspects of transfer pricing adjustment, we are of the view that final adjustments, if any, would fall within + / - 5% range and no adjustment is to be made to international transaction entered into by the assessee. Accordingly, we do not address the issue of exclusion of depreciation from operating cost while benchmarking international transaction of the assessee at present. TP adjustment made under sections 10A and 10B - Held that:- The provisions of the Act are clear in not allowing any deduction on any TP adjustment made under sections 10A and 10B of the Act. Where the section itself provides that no deduction under section 10A of the Act is to be allowed on any transfer pricing adjustment, then corollary to the same is that transfer pricing adjustment can be made in the case of concerns which are claiming deduction under sections 10A and 10B of the Act
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