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2020 (8) TMI 923 - AT - Income TaxTP Adjustment - comparable selection - turnover filter - assessee alleged exclusion RS software India Pvt. Ltd.on turnover filter, as this company has huge turnover of 2472.08% - HELD THAT:- We note that international transaction for year under consideration and asst. year 2010-11 [2015 (7) TMI 212 - ITAT BANGALORE] are similar. There is nothing on record placed by revenue that brings out any factual differences. Respectfully following above view, we direct Ld.AO/TPO to exclude all these comparables, for having excessive turnover. Genesis International Corp Ltd - This company renders mapping and Geo spatial services in the process of which it develops software. Genesys International Corporation Ltd., cannot be considered as a comparable company and the said company should be excluded from the final list of comparable companies. Comparables in respect of software R & D segment - As entire issue should be restored to the file of Ld. AO/TPO for undertaking exercise afresh by selecting fresh set of comparable companies in respect of software R & D segment. Accordingly, we set aside the order passed by Ld. AO on this issue and restore the same to his file for examining the issue afresh in the light of discussions made supra. We direct learnt Ld.TPO to undertake fresh search analysis having regards the above observations and the view taken by this (Tribunal) in assessee’s own case for immediately preceding and succeeding assessment years. Assessee is directed to file all relevant information/details to assist Ld. AO/TPO for determining arms length price of the transaction in accordance with law. Appeal filed by assessee stands allowed for statistical purposes.
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