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2021 (7) TMI 892 - AT - Income TaxTP Addition - application of the TNMM as the most appropriate method - HELD THAT:- As found as an admitted position that the facts and circumstances of the instant appeal are similar to those of the earlier years. Tribunal has passed orders starting from assessment year 2009-10 to 2015-16, whose copies have been placed on record. In the lead order, which has been followed in later years, the application of the TNMM as the most appropriate method has been accepted in preference to the CUP method as applied by the TPO. After giving certain directions, matter has been sent back to the AO/TPO for deciding the issue accordingly. DR fairly conceded that the facts and circumstances of the instant appeal are mutatis mutandis similar to those of earlier years. Respectfully following the precedent, we set-aside the impugned order and remit the matter to the file of AO/TPO for deciding this issue afresh in accordance with the directions given by the Tribunal in assessee's own case for the earlier assessment years Deduction for Education Cess and Secondary and Higher Education Cess paid on income-tax while computing the Income from Business and Profession for the year under appeal - Admission of additional ground - HELD THAT:- Having gone through the subject matter of the additional ground taken by the assessee, it is apparent that the same raises a pure question of law. We, therefore, admit the same. On merits, it is found that the issue raised through the additional ground is no more res integra in view of the judgment of Hon'ble jurisdictional High Court in Sesa Goa Lt. [2020 (3) TMI 347 - BOMBAY HIGH COURT] in which it has been held that Education Cess is not disallowable expenditure u/s. 40(a)(ii) of the Act. Similar view was earlier taken by the Hon'ble Rajasthan High Court in Chambal Fertilisers and Chemicals Ltd. and Another [2018 (10) TMI 589 - RAJASTHAN HIGH COURT]. We, therefore, direct the AO to ascertain the correct amount of education cess and then allow a deduction for it, after allowing opportunity of hearing to the assessee.
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