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2023 (7) TMI 975 - ITAT BANGALORETP Adjustment - As argued AO has made TP adjustment in spite of the fact the TPO has passed an order u/s. 92CA r.w.s. 254 of the Act clearly stating the transfer pricing adjustment to be NIL - HELD THAT:- We accept this contention of the ld. AR and direct the AO to pass consequential order to the TPO’s order dated 18.1.2023 considering the TP adjustment at Nil. The ground of the assessee on this issue is allowed. Disallowance u/s. 14A - HELD THAT:- We are of the opinion that though the AO in the computation of total income has noted the relief allowed by the ITAT, yet he has retained the addition of Rs. 1,37,500. Since the addition u/s. 14A has been deleted by the Tribunal vide order cited supra, we direct the AO to pass consequential order. Deduction u/s. 80G - HELD THAT:- AO has not dealt on the aspects, prima facie, considered the contributions as not voluntary but a legal obligation and has accepted the genuineness of the contributions. We are of the opinion, that the matter has to be considered for examination and verification of facts subject to the assessee satisfying the requirements of claim u/s. 80G of the Act. Accordingly, we restore the entire disputed issues to the file of A.O. for fresh examination and verification. TDS u/s 195 - Disallowance u/s. 40(a)(ia) - secondment of employees - HELD THAT:- Respectfully following the views expressed in Abbey Business Services India (P.) Ltd.'s case [2020 (12) TMI 570 - KARNATAKA HIGH COURT], Cholamandalam MS General Insurance Co. Ltd.'s case [2009 (1) TMI 19 - AUTHORITY FOR ADVANCE RULINGS], Mark & Spencer Reliance India (P.) Ltd. [2013 (11) TMI 317 - ITAT MUMBAI], Faurecia Automotive Holding [2019 (7) TMI 402 - ITAT PUNE], we are of the view that the reimbursement made by the assessee in India to overseas entity, towards the seconded employees cannot be regarded as "Fee For technical Services Since the Tribunal on an earlier occasion for the AYs 2011-12 to 2014-15 & 2015-16 to 2018-19 has held that there is no violation of provision of section 195, assessee cannot be held to be an assessee in default u/s. 201(1) of the Act, there is no question of disallowance of any expenditure u/s. 40(a)(ia) of the Act.
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