TMI Blog2020 (4) TMI 855X X X X Extracts X X X X X X X X Extracts X X X X ..... reliance placed by the Tribunal on the decision in the matter of Bovis Lend Lease (I) Pvt. Ltd. (supra), which was not cited or discussed by either the applicant or the respondent at any stage nor mentioned by the Hon ble Members during the original hearing before the Tribunal or even when the appeal was re-fixed for clarifications by the Tribunal amounts to violation of principles of natural justice and therefore, the impugned order suffers from patent mistake apparent on record. As per the ratio laid down by the Hon ble Bombay High Court in Inventure Growth Securities Ltd. v. ITAT [ 2010 (5) TMI 99 - BOMBAY HIGH COURT] , the finding arrived at in the impugned order on the basis of the decision in Bovis Lend Lease (I) Pvt. Ltd. (supr ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ashtra Ors [2016 (331) ELT 23(SC)] in the operative part of the order passed by the Tribunal is a mistake apparent from record. Also it is stated that the non-consideration in the operative part of the order of the framework within which the applicant operated i.e. the RBI Regulations/Guidelines governing the manner in which the applicant necessarily carried out its own business operations including requirement of entering into a contract with its affiliates and the maintenance of an escrow account from which reimbursement of claims received from the applicant s affiliates were made is a mistake apparent from record. Further, it is stated that the cumulative conditions required for the applicability of section 194C of the Income Tax Ac ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ake apparent from record in the impugned order passed by the Tribunal. 4. We have heard the rival submissions and perused the relevant materials on record. The decision as per the impugned order is reproduced below : 9. We have heard the rival submissions and perused the relevant materials on record. The reasons for our decisions are given below. As mentioned earlier, on 21.01.2016, a survey u/s 133A (2A) of the Act was conducted by the Department to verify the compliance by the appellant to the provisions of Chapter XVIIB of the Act. A statement of Mr. Pramul Saxena, Chief Financial Officer of the appellant was also recorded by the AO u/s 131 of the Act. Because of the findings in the survey, the order in earlier years will ha ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ee parties should exist in a case of reimbursement-a payer, a payee and a reimburser (i.e. the person reimbursing the amount of the payer). Further it is well settled that the basic ingredient is that there is no profit element in the amount reimbursed. 9.2 We may mention here some examples of documents to be considered in the context of transactions involving reimbursements , which are listed below. Written agreement between the parties. Invoices or debit notes raised by the parties. Agreement entered by lead company with third parties and invoices raised by the third parties towards reimbursable expenses incurred by the lead company. 9.3 Having examined the materials available on record, we find that the paramet ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he appellant. We also directed the appellant to file the relevant documents/evidence before the AO. Specifically, we have mentioned that as the matter has been restored to the file of the AO, we are not adverting to the case-laws relied on by both the sides. However, there is merit in the submission of the Ld. counsel that the reliance placed by the Tribunal on the decision in the matter of Bovis Lend Lease (I) Pvt. Ltd. (supra), which was not cited or discussed by either the applicant or the respondent at any stage nor mentioned by the Hon ble Members during the original hearing before the Tribunal or even when the appeal was re-fixed for clarifications by the Tribunal amounts to violation of principles of natural justice and therefor ..... X X X X Extracts X X X X X X X X Extracts X X X X
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