TMI Blog2018 (7) TMI 470X X X X Extracts X X X X X X X X Extracts X X X X ..... an established ex-facie perversity is found in the findings of the learned Tribunal, the appeal u/s.260A of the Act is not maintainable. - I.T.A. No.442/2017 - - - Dated:- 28-6-2018 - Dr. Vineet Kothari And Mrs. S. Sujatha, J.J. Sri. Aravind K. V., ADV.- For the Appellant Sri. Mallaha Rao K And Sri. Sandeep Karhail, ADVS.- For the Respondent JUDGMENT The Appellants-Revenue have filed this appeal u/s.260A of the Income Tax Act, 1961, raising purportedly certain substantial questions of law arising from the order of the ITAT, Bangalore Bench A , Bangalore, dated 29.11.2016 passed in IT(TP)A No.442/Bang/2011 (M/s. Acusis Software India Pvt. Ltd., vs. The Income tax Officer) for A.Y.2004-2005. 2. The proposed substantia ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... even when the TPO has chosen proper comparable by application of all required tests ? 5. Whether on the facts and in the circumstances of the case, the Tribunal is right in law in directing the assessing authority to exclude certain comparable in list even when the TPO has chosen proper comparable by application of all required tests ? 6. Whether on the facts and in the circumstances of the case, the Tribunal is right in law in following its earlier decision in case of 24/7 Customer. com. p. ltd which was not reached finality ? 3. Regarding substantial questions of law Nos.3 and 6:- Learned counsel for the Appellants-Revenue Mr. K.V. Aravind submits that he does not press the substantial questions of law Nos. 3 and 6. H ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... a, held that when a particular word is not defined by the legislature and an ordinary meaning is to be attributed to it, the said ordinary meaning is to be in conformity with the context in which it is used. Hence, what is excluded from export turnover must also be excluded from total turnover , since one of the components of total turnover is export turnover. Any other interpretation would run counter to the legislative intent and would be impermissible. 18. XXXXXX 19. In the instant case, if the deductions on freight, telecommunication and insurance attributable to the delivery of computer software under Section 10A of the IT Act are allowed only in Export Turnover but not from the Total Turnover then, it would give ris ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... eliance on the following decisions: a. 24/7 Customer.Com Pvt. Ltd., b. Market Tools Research Private Limited c. Deloitte Consulting India Pvt. Ltd., d. Maersk Global Service Center (India) P. Ltd., Vs. ACIT On the other hand, the learned DR placed reliance on the orders of the lower authorities. It is undisputed fact that the company Wipro BPO Ltd., is having high brand value, goodwill with high turnover. Now it is trite law that the company having high brand value and intangibles cannot be compared with a company rendering purely ITES services. And in this regard, reliance can be placed on the following decisions: (a) Genisys Integratingn Systems (India) (P). Ltd., Vs. Dy. CIT (2012) 20 taxmann.com 715/53 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of the Judgment is quoted below for ready reference: 7. The relevant portion of the aforesaid judgment is quoted below for ready reference:- Conclusion: 55. A substantial quantum of international trade and transactions depends upon the fair and quick judicial dispensation in such cases. Had it been a case of substantial question of interpretation of provisions of Double Taxation Avoidance Treaties (DTAA), interpretation of provisions of the Income Tax Act or Overriding Effect of the Treaties over the Domestic Legislations or the questions like Treaty Shopping, Base Erosion and Profit Shifting (BEPS), Transfer of Shares in Tax Havens (like in the case of Vodafone etc.), if based on relevant facts, such substantial questions of ..... X X X X Extracts X X X X X X X X Extracts X X X X
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