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2019 (5) TMI 1063 - HC - Income TaxTP Adjustment - ITAT deleting Genesys International Corporation Ltd. (GICL) from the final list of comparables for the transfer pricing exercise on the ground that it was not functionally similar to the Assessee - HELD THAT:- Although GICL had been included by the Assessee itself earlier in the list of comparables submitted by it, later it was noticed that GICL was engaged in diversified operations providing high-end and complex services such as GIS Consulting, 3D Mapping, Navigation Maps, Remote sensoring, etc. On the other hand the Assessee was engaged only in providing back office IT enabled services. GICL operated as a full-fledged risk taking entrepreneur whereas the Assessee was not. Therefore, apart from the functionality aspect, the comparison failed even on the basis of the scale of risk. From the Annual Report of GICL, it was noticed that it had significant intangibles in the form of computer software and GIS data base whereas the Assessee did not own any significant intangibles. It depended entirely on the intellectual property rights owned by the holding company. The reasons given by the DRP, concurred with ITAT, for excluding GICL as a comparable appears to be justified. No substantial question of law arises that calls for interference by this Court. No substantial question of law
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