2022 (3) TMI 648

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..... against the order passed by the CIT(A) on 02-01-2017 in relation to the assessment year 2009-10. 2. It is a recalled matter inasmuch as the earlier order passed by the Tribunal on 14-08-2018 was recalled vide its later order dated 25-05-2021. 3. The only issue raised by the Revenue in its appeal is against the deletion of disallowance of Rs. 35,27,217/- u/s. 10A of the Income-tax Act, 1961 (her .....

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..... . 10A of the Act amounting to Rs. 35,27,217/-. Such a view was premised on the understanding that the assessee computed the Arm's Length Price of the international transaction of rendering ITES to its Associated enterprise under the Transactional Net Margin Method (TNMM) by demonstrating its operating profit margin of 39.62% at ALP, which was higher than 16.90% of the comparables. The AO held .....

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..... not chargeable to tax in India. In other words, the assessee offered suo motu higher income in its hands, which was albeit deductible u/s. 10A, without conferring any corresponding benefit to its AEs in terms of higher deduction of expenditure. The ld. AR brought to my notice an order passed by the Pune Bench of the Tribunal in Honeywell Automation India Limited and Another Vs. DCIT and Another ( .....

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