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2017 (11) TMI 385 - AT - Income TaxTPA - selection of comparable - selection criteria - Held that:- Assessee is engaged in providing services in the field of customer relationship management, managing call Centre and Information Technology (IT) enabled services to its Associated Enterprises (AEs). The assessee has provided the services from its undertaking registered with Software Technology Parks of India (STPI), thus companies functionally dissimilar with that of assessee need to be added to final list of comparable. Consider the additional remuneration(which was received in financial year 2006-07, but claimed as pertaining to financial year under consideration) for computing PLI - Held that:- CIT-(A) has noted that following matching principle, the additional revenue need to be included in the PLI of year under consideration. The leaned CIT-(A) has also noted that this approach has been accepted by the Ld. DRP for the subsequent assessment year under same facts and circumstances. In view of the facts, in our opinion, following the rule of consistency, we agree with the finding of the learned CIT-(A) that the additional revenue in question needs to be included in for computing PLI of the year under consideration. However, whether the additional revenue fee received pertains to IT enabled services i.e. relevant international transaction, has not been examined by the lower authorities, thus, we feel it appropriate to restore the issue to the file of the AO/TPO for verifying the facts and decide the issue in accordance with law. The assessee shall be afforded adequate opportunity of being heard. Accordingly, the ground of the appeal is allowed for statistical purposes.
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