2017 (11) TMI 266

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.... comparables originally proposed by the Transfer Pricing Officer (TPO) in the course of assessment for AY 2007-2008, in the ALP (Arms Length Price) determination, conducted in respect of the assessee, is erroneous. 2. The facts are that the assessee is engaged in software development services to its associated enterprise (AE Group) Genesis Microchip Inc., US. With regard to transfer price required to be furnished in the Court, the assessee compared its activities to 55 comparable entities performing similar functions. The TPO upon his undertaking analysis discard 45 of them while retaining 10.   3. In the course of analysis, some more companies were added as comparables; the total of 26 such comparable entities were taken into ac....

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....kard India Global Soft Pvt. Ltd., no different conclusions could have been arrived at. 7. It is argued on behalf of the Revenue that the ITAT fell into error in mechanically following the decision in Hewlett Packard India Global Soft Pvt. Ltd.(supra). It was urged that the ITAT, who had, after taking into account its previous ruling in Hewlett Packard India Global Soft Pvt. Ltd.(supra), remitted the matter for reconsideration of the TPO to determine whether, as a matter of fact, functional profile of the entities, which the assessee sought exclusion of, were, in fact, different or identical. It was further submitted that the assessee was engaged in chip designing and embedded software development. 8. The Court is of the opinion that t....