TMI Blog2017 (9) TMI 1108X X X X Extracts X X X X X X X X Extracts X X X X ..... the order of the TPO that require to be taken into consideration since it would have a bearing on the outcome. Further the remand order in such circumstances should clearly spell out what the scope of the remand is. Where all the relevant facts are already before the ITAT and the parties have no new material to provide, simply remanding the issue to the TPO without rendering a finding thereon would be an abdication of the functions of the appellate body. The Court finds from the impugned order that indeed with regard to the issue concerning exclusion of Sasken, there is no finding by the ITAT. That issue ought not to have been remanded without recording a finding. Likewise, with regard to the exclusion of Mahindra and WAPCOS and inclu ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the Assessee in the AY in question for two segments, viz., (i) Contract Software Development ( CSD ) and (ii) Technical Support Services ( TSS ). With the Assessee having adopted TNMM, the questions involved inclusion and exclusion of comparables . 4. As far as the TSS segment is concerned, in its TP Study, the Assessee selected 13 comparables. While accepting only two of the said comparables, the Transfer Pricing Officer ( TPO ) in his order dated 15th January 2015 introduced 12 new comparables. The matter then went before the Dispute Resolution Panel ( DRP ). By its directions dated 5th October 2015, the DRP directed the exclusion of two comparables, i.e., Acropetal Technologies, Limited and Wipro Technologies Limited and the inclusi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... er remanded to the TPO the issue concerning exclusion of Mahindra and WAPCOS but failed to give any finding on the inclusion of Kirloskar as a comparable. 9. On the issue of denial by the TPO and the DRP of Working Capital and Risk adjustment in both segments, the Assessee submits that the ITAT has again not given any finding and has simply remanded the issue to the TPO. Lastly, on the issue of proportionate adjustment in the TSS segment, it is stated that after having recorded contentions of the Assessee in para 10.4 of its order, the ITAT failed to give a finding. 10. Mr. Zoheb Hossain, learned Senior standing counsel for the Respondent- Revenue points out that on some issues that have been remanded back to the TPO the Assessee h ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... have been remanded without recording a finding. Likewise, with regard to the exclusion of Mahindra and WAPCOS and inclusion of Kirloskar as a comparable for the TSS segment the ITAT has simply remanded the matter to the TPO without a finding. 14. It was submitted by Mr Zoheb Hossain for the Revenue that the remand of the issue of working capital and risk adjustment in both the segments was by way of consent of both the AR and DR before the ITAT. Reference was made in this regard to para 11.3 of the impugned order. 15. The Court finds that the question whether any expert was required for determination of this issue was posed but not answered by the ITAT itself. This issue too ought to have been addressed by the ITAT. Likewise on ..... X X X X Extracts X X X X X X X X Extracts X X X X
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