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2017 (11) TMI 1881 - AT - Income TaxTP Adjustment - management fee for payment towards cost support services - direction of the DRP suggesting nil adjustment on account of payment of management fee to its AE - TPO has suggested ALP adjustment treating service charges fees at nil on the ground that the assessee-company failed to prove receipt of actual services as well as justification for payment of such fees - HELD THAT:- In the present case, the assessee-company had not filed any evidence before lower authorities or before this Tribunal to substantiate receipt of services from AE. Therefore,, the ratio of the decision in the case of the assessee for the assessment year 2009-10 is squarely applicable wherein this Tribunal had refused to remand the matter to the file of the AO for fresh consideration We are unable to remand the present assessment order to the file of the AO for de novo examination as no case was made out by the assessee-firm that it was prevented by sufficient reasonable cause from filing necessary evidence in support of receipt of actual services from the AE. Simply because in earlier years the issue was remanded back to lower authorities, remand cannot be ordered in the present year without valid reason in the light of the decisions cited supra. Needless to mention that each year is an independent and separate assessment year and the principle of res-judicata is not applicable.Therefore, we do not find any merit in the submissions made by the learned counsel for the assessee for remand of the matter to the file of the TPO for de novo examination. Interest income as part of eligible profits of the undertaking for purposes of computation of deduction u/s 10A - HELD THAT:- The direction of the DRP is in consonance with the decision in the case of CIT vs. Motorola India Electronics (P) Ltd [2014 (1) TMI 1235 - KARNATAKA HIGH COURT] Therefore, we do not find any reason to differ with the direction of the DRP. Ground of appeal in this regard is dismissed. Reduce expenditure incurred in foreign currency on travel and telecommunication to be reduced from both export turnover as well as total turnover - HELD THAT:- This direction is line with the decision of the Hon’ble jurisdictional High Court in the case of CIT vs. Tata Elxsi [2011 (8) TMI 782 - KARNATAKA HIGH COURT] . We do not find any merit in the ground of appeal filed by the revenue and are accordingly dismissed.
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