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2016 (12) TMI 1758 - AT - Income TaxTransfer pricing adjustment on provisions of ITES - selection/rejection of comparables which we propose to deal with at the outset - computation of RPT - Held that:- Having considered the submissions of the parties, we find that the Tribunal in PTC Software India (P.) Ltd. [2012 (1) TMI 343 - ITAT PUNE] observed the ratio of RPT to total transactions have to be worked out by dividing RPT sales and RPT expenses with total sales and total costs. The aforesaid view expressed by the Tribunal, Pune Bench, was approved by the Hon'ble Jurisdictional High Court in PTC (I) (P.) Ltd. (supra) while holding that RPT has to be considered in the context of total transactions - we restore the issue relating to comparability of the aforesaid company to the Assessing Officer/Transfer Pricing Officer for deciding afresh after working out the RPT. Companies functionally dissimilar with that of assessee as BPO service provider need to be deselected from final list. Denial of claim of deduction u/s 10A in respect of Unit-II and Unit-III on the reasoning that they are not new Units, but expansion of earlier Units - Held that:- Tribunal for assessment year 2005-06 [2015 (4) TMI 589 - ITAT MUMBAI], have allowed assessee's claim of deduction under section 10A in respect of Unit-II and Unit-III. The same view was again reiterated by the Tribunal in assessee's own case for assessment year 2010-11. Therefore, respectfully following the consistent view of the Tribunal on the issue in assessee's case as aforesaid, we allow assessee's claim of deduction under section 10A of the Act for the impugned assessment year. - Decided in favour of assessee
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