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2017 (9) TMI 1800 - AT - Income TaxTP Adjustment - comparable selection - HELD THAT:- Infosys BPO Ltd. - because of brand value and high turnover associated with Infosys BPO Ltd. and the extraordinary financial events during the year, Infosys BPO Ltd. is to be excluded from final list of comparables. Accordingly, we hold so and direct the Assessing Officer/TPO to exclude Infosys BPO Ltd. Accentia Technologies Ltd. on the ground of extraordinary events during the year under consideration M/S. APTARA TECHNOLOGIES PVT. LTD. (FORMERLY KNOWN AS MAXIMIZE LEARNING PVT. LTD.) VERSUS THE ASST. COMMISSIONER OF INCOME TAX AND VICE-VERSA [2016 (5) TMI 1404 - ITAT PUNE] we hold that Accentia Technologies Ltd. cannot be compared as comparable because of extraordinary events of acquisition and amalgamation during the year. Accordingly, we direct the Assessing Officer/TPO to exclude Accential Technologies Ltd. from final list of comparables. Jeevan Scientific Technology Ltd., which was earlier known as Jeevan Softech Ltd. - we direct the Assessing Officer/TPO to work out correct margins of said concern Jeevan Softech Ltd. and then determine average margins of comparables and apply the same. E-clerx Services Ltd. being KPO company and not comparable from the final list of comparables. Assessee in the written note has furnished PLI after working capital adjustment of said concerns at 19.22% and has pointed out that no adjustment is to be made on account of arm's length price of international transactions, in view of proviso to section 92C(2) of the Act, under which range of +/- 5% of operating revenue be applied. So, we direct the Assessing Officer to verify the computation in this regard and delete the addition in the hands of assessee. Erroneous calculation of capital adjustment - HELD THAT:- DRP had directed to compute working capital adjustment in the hands of comparables. However, the Assessing Officer has not effectively complied with the said directions. Accordingly, we direct the Assessing Officer to re-compute the margins after working capital adjustment. The grounds of appeal Nos. 1 to 5 raised by the assessee are thus, allowed. Deduction for contribution to Provident Fund - addition u/s 43B - HELD THAT:- Where the assessee during the course of assessment proceedings had made a claim before the Assessing Officer for allowing the benefit of deduction under section 43B. The assessee has made payment of PF dues during the year under consideration and consequently, the assessee is entitled to claim the said amount as deduction in the instant assessment year itself. Accordingly, we hold so and direct the Assessing Officer to allow the deduction
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