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2022 (9) TMI 1562 - AT - Income TaxTP Adjustment - determining the ALP of international transaction related to Business Support Services - correctness of the CIT(A)’s action reversing assessment findings making TP adjustment(s) in assessee’s back office support services segment - CIT(A)’s admittedly appears to have gone by the assessee’s “advance pricing arrangement (APA)” with the CBDT adopting cost + 15% mark up to reverse the TPO’s arm’s length price computation coming to 20.75% - Revenue’s case is that the said agreed mark up is applicable from FYs 2011-12 to 2014-15 whereas we are in AY 2010-11 only - HELD THAT:- We make it clear that Chapter X in the Act is in the nature of a “SPECIAL PROVISION RELATING TO AVOIDANCE OF TAX” i.e. an anti avoidance measure introduced by the legislature. Hon’ble apex court’s recent landmark decisions PCIT V/s Wipro Ltd [2022 (7) TMI 560 - SUPREME COURT], Commissioner V/s Dilip Kumar & Co. [2018 (7) TMI 1826 - SUPREME COURT] & CIT V/s. GM Knitting Industries (P) Ltd.[2015 (11) TMI 397 - SC ORDER] have settled the law that the relevant provisions in the Act ought to be put to stricter interpretation only. Faced with this situation, we reverse the CIT(A)’s findings in issue going against sec. 92CC(4) r.w.s.(9A) of the Act (supra) and direct him to re-decide all of the assessee’s grounds in the lower appeal afresh as per law. This Revenue’s appea is allowed for statistical purposes.
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