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2020 (11) TMI 274 - AT - Income TaxDeduction u/s 80JJAA - employment of new workmen - non-satisfaction with respect to additional wages paid to new employees in the 1st year of employment - HELD THAT:- As relying on Texas Instruments (India) Pvt.Ltd [2020 (3) TMI 1195 - ITAT BANGALORE] there is no doubt that assessee cannot be denied deduction under section 80JJAA of the Act, provided that, such employees fulfils the condition of being employed for 300 days for year under consideration , even though such employees do not fulfil the condition of being employed for 300 days in the immediately preceding assessment year. We also note that, details fulfilment of number of days of such employees, on whose salary deduction has been claimed by assessee, are not available on record. Therefore, we are unable to verify, whether necessary condition of 300 days stands fulfilled. We are therefore of opinion that the issue needs to be remanded to Ld.AO to verify these details in terms of new employees having satisfied the 300 days criteria during the year. We direct assessee to provide all details regarding number of regular workmen/employees, number of new workmen/employees added for each of the immediately three preceding assessment years to Ld.AO. Ld.AO is then directed to analyse fulfilment of the condition in respect of new employees/workmen against whom the claim has been made by assessee under section 80JJAA of the Act. Ld.AO is then directed to allow deduction under section 80 JJAA - Ground of assessee stands allowed for statistical purposes. Deduction in respect of share of loss from A2E2, USA - HELD THAT:- Authorities below rejected the claim as assessee assessee was not allotted shares in the LLC wherein it was a partner but in our view this issue needs to be remanded to Ld.AO to consider the claim of assessee in light of evidences/documents, joint venture Agreements, declaration by the U.S. LLC before the tax authorities therein etc, OECD commentary is in respect of the same, the manner in which such incomes/loss as the case may be are treated in USA being the source country and the manner in which such income/loss are to be treated as per Indian income tax act. Ld.AO shall take a view based upon all the documents in light of the provisions applicable during the relevant period under the act. Ground of assessee stands allowed for statistical purposes.
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