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2017 (2) TMI 462 - HC - Income TaxAddition in respect of reimbursement of expenses to head office - addition in respect of reimbursement of expenses like sundry expenses, rent, travelling expenses, car hiring expenses, etc. to sub-contractor - ITAT deleted addition - Held that:- Tribunal while coming to the conclusion has rightly relied upon its own decision and has deleted the whole addition. Furthermore, for execution of Dahej project, expatriates were working, as also the sub-contract was also given to the Indian company which is subsidiary of parent company and the expenses were to be borne by the parties as per the agreement. Even, some technical persons were required to be employed and their expenses were debited and the Tribunal has rightly appreciated this aspect of the matter that the said expenses which were debited, are for the project in India. As quoted earlier, the Tribunal in its order at paragraph Nos. 13, 14, 16 and 18 has rightly come to the conclusion and in our view the same is just and proper. This court is of the opinion that no error can be said to have been committed while passing the impugned orders by the Commissioner of Income-tax (Appeals) and the Tribunal. We are in complete agreement with the view taken by the Commissioner of Income-tax (Appeals) and the Tribunal. It is also required to be noted here that the additions made by the Assessing Officer in its order are not part of the show-cause notice and no fresh notice is issued for initiating the penalty proceedings, but it was made on the basis of remand of the earlier proceedings. Accordingly, we answer the issues raised in these appeals in favour of the assessee
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