TaxTMI 
TaxTMI 
2018 (4) TMI 1574
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....see provides R&D services and ITes services from its unit located in the Noida Special Economic Zone (SEZ) and the Software Technology Parks (STP) unit located in Bangalore. Further the IT group in India provides systems supports to all the Cadence offices across the world. They derive income in the business of development and export of computer software and providing technical support and training services. Assessee is a captive service provider and risk mitigated entity inasmuch as it is compensated on a cost place markup basis for the services rendered to its associated enterprise (s).For the AY 2011-12, the assessee filed the return of income on 25.11.2011 declaring a total income of Rs. 44,54,97,708/- and during the scrutiny learned AO found that during that year the assessee had the international transactions with associated enterprises, as such, referred the matter to the learned Transfer Pricing Officer("TPO") u/s 92CA(1) of the Act. Learned TPO tabulated the international transactions entered into by the assessee, transfer pricing approach of the assessee for bench marking purpose, as follows: S. No. Nature of Transaction Value (Rs.) Method applied No. of co....
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....ue of the product development work performed by Cadence India, one needs to understand the overall value drivers of software development performed by Cadence India. Conceptualization of services Software product lifecycle ("SPL") is generally a 3 phase, multi step process involving Product Management team, Marketing team and Product Engineering team. The 3 phases of Product Engineering are Product Definition, Product Development and Servicing. In the Product Definition (Conceptualization) phase, a value proposition and a product prototype are developed based on customer feedback from the servicing phase, surveys, competitive analysis, the product leader's vision for future and CDS's overall vision for the product category. Then, marketing research is performed to test the value proposition and the marketing feasibility of a product prototype. The product leadership team and product engineers will work with the marketing research team to address software engineering issues and technical feasibility. When the prototype is finalized the next phase of the lifecycle begins. The second phase is Product Development, which is a multi-step process....
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....rted into functions and features of the intended application. Upon receiving the approval from CDS, Cadence India commences work. Coding, testing and documentation Cadence India undertakes code development in accordance with product specifications defined by CDS. The code generated is subsequently tested to ensure that functions performed by the code are in accordance with the protocol design and standard specifications, Cadence India generates and makes available documentation for the software developed and transferred. The software developed by Cadence India is subsequently integrated into the final software product by CDS and other Cadence group entities. Project management Although the day-to-day management of the project is undertaken by Cadence India, CDS is responsible for the overall project management. Cadence India's responsibility is confined to the project management and the end deliverables with respect to the module of the software being developed by it. CDS also regularly conducts meetings to analyze the progress and monitors the project plan. However, the ultimate responsibility of the work undertaken by Cadence India....
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....h payment. Cadence India does not bear any credit and collection risk since it bills directly to its associated enterprise i.e. CDS, which makes payment on a monthly basis or in advance. Payment to Cadence India is not contingent upon payment received by CDS from its customers. However, CDS bears credit and collection risk as it sells its products to final customers. Foreign exchange risk Exchange rate risk relates to the potential variability of profits that can arise because of changes in foreign exchange rates and arises whenever the transacting currency of an entity is different from its functional currency. Cadence India invoices CDS for its services in USD, which is different from its functional currency. However, since Cadence India is remunerated on all its costs including foreign exchange loss, Cadence India does not bear the foreign exchange risk in relation to transactions with CDS. CDS is exposed to any foreign currency risk in this context. Briefly tabulated are the key risks, borne by Cadence India and CDS in relation to the software development services provided by Cadence India to CDS. 6. Basing on the FAR analysis the....
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....) Ltd. 16.20% 14 Sakhya Infotech Ltd. 26.20% 15 Sasken Communications Technologies Ltd. 24.36% 16 Tata Elxsi Ltd. (segment) 13.00% 17 Thirdware solutions 16.19% 18 Wipro Technologies Ltd. 54.42% 19 Zylog SystemsLtd. 28.74% AVERAGE 23.64% 8. Learned DRP confirmed the selection of 19 comparable companies in respect of software development section, and pursuant to the directions of the Ld. DRP, the recomputation of ALP is: Operating Cost 1,641,012,105 Arm's Length value at a margin of 21.47% 1,993,337,404 Price received 1,886,342,446 105% of Price received 1,980,659,568 Proposed adjustment u/s 92CA 106,994,958 9. In this appeal, as submitted by the learned AR, assessee is challenging the exclusion of Five companies, vis., Infosys Limited, Wipro Technology Services Limited, Acroperal Technologies Limited (Segmental), E-Infochips Limited and E- zest Solutions Ltd. and also praying for inclusion of Seven companies, viz., CG VAK software & Exports Ltd., Goldstone Technologies Ltd., Thinksoft Global Services Ltd., Cat Technologies Ltd., LGS Global Ltd., R. Sy....
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....rib.), it was found that Infosys Ltd. is not comparable to the assessee. Learned DR placed reliance on the orders of the authorities below and the reason for including this company in the list of comparables. 15. Financials of Infosys lends any amount of support to the argument of the assessee referred to above. Further, vide paragraph No.7 to 7.4 in the order in ITA 2074/Del/2014, a coordinate Bench of this Tribunal considered in assessee's own case for the AY 2009-10 the comparability of Infosys with the assessee in detail, and while placing reliance on the decision of the Hon'ble jurisdictional High Court in CIT v. Agnity India Technologies (P.) Ltd. [2013] 219 Taxman 26 (Delhi) held that Infosys Ltd. cannot be compared with the assessee company and the observations of the bench needs to be extracted hereunder. (B) INFOSYS TECHNOLOGIES LIMITED (42.44%) 7. The assessee's main contention for exclusion of Infosys Technologies Limited had been that firstly, its services are incomparable with the assessee because Infosys is into technical consultancy design, development, re-engineering maintenance, system integration, package evaluation and implementa....
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....s Rs. 267 crores and it has huge brand value and significant intangible assets, which have been valued at approximately Rs. 1,34,478 crores. If these assets are to be compared with those of the assessee, it can be seen that it has 'nil' expenditure on R&D and no significant intangible asset. On this ground alone, various Benches of the Tribunal have held that Infosys Technologies Limited cannot be compared with small software companies, who are into contract software development services. A company like Infosys with mega operations and having significant assets and brand value and full-fledged risk taking entrepreneur developing and selling proprietary products cannot be held to be comparable with the captive service and contract software development companies as the comparability analysis fails on all the factors of FAR. The Hon'ble Delhi High Court in the case of CIT v. Agnity India technologies Pvt. Ltd. (supra) made a comparative chart while dealing with similar comparative analysis, which for sake of ready reference is reproduced hereunder:- Infosys Technologies Ltd. Assessee Basic Particular Risk Profile: Operate as ful....
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....he ratio of the coordinate Bench extracted (supra) hold that the Infosys Technologies has to be excluded from the list of comparables. Learned AO is directed so. Wipro Technologies Services (P.) Ltd.: 17. Assessee objected the inclusion of this company on the ground of drawing huge revenues from the service of Citi group companies, functional dissimilarity, non availability of segmental information and earning super normal profits. However, learned TPO brushed aside the contention of the assessee stating that earning of super normal profits was made possible by the Wipro due to the commercial efficiency gained by them. 18. Learned DRP again placed reliance on Chrys Capital Investment Advisors (India) (P.) Ltd. case (supra) and Rampgreen Solution (P.) Ltd.'s case (supra). He observed that inasmuch as both Wipro and assessee are engaged in the development of software and software services, they are functionally similar and earning of super normal profits is of no consequence in respect of their comparability. 19. It is the argument of the learned AR that Wipro earns its entire income from services rendered to Citi Group of companies. According to him, the Wipro is eng....
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.... is covered by a master service agreement entered into by break through with Citi Group services. 22. We have gone through the material available before us. From page no.294 of the paper book which consists of the submissions of the assessee before the ld. TPO, the assessee brought to the notice of TPO that in the annual report of the Wipro Technologies Services Ltd. it was mentioned that Wipro signed a master service agreement with Citi Group Inc. for delivery of technology infrastructure services Ltd. and application of maintenance service for a period of six year under the agreement dated 21.1.2009. This fact could not be refuted by the revenue. 23. In Orange Business Service Solutions case (supra), under very similar circumstances found that Wipro Technologies Services is not a good comparable inasmuch as this company is a subsidiary to Wipro Ltd. and the entire revenue during the year is covered by a master service agreement entered into by break through with Citi Group services. Further, vide schedule No.18.9 it is clearly stated that this company is engaged in providing software related support services primarily information technology software solutions/maintenance an....
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.... to the FY 2010- 11 and the annual report is available in the public domain, the audited reports of this year are to be considered but not the financials of the next year. 30. On a perusal of page No.45 & 46 of the annual report of Acropetal, we find that the submission of the ld. AR is justified. We, therefore, direct the ld. AO to verify the employee cost percentage to the total cost and if it does not pass the filter, to exclude the same. E-Infochips Limited: 31. Assessee resisted the inclusion of this company in the list of comparables mainly contending that the company's revenue from software development services is less than 75% of its operating revenue and also that it is engaged into diversified activities as could be seen from the annual report of this company. Earning of super normal profits was also contended before the ld. TPO. However, ld. TPO observed that the assessee is also engaged in Semantics, under two heads of income i.e. income from software development and income from IT services which put together amounts to 86% of the total income, as such the assessee cannot insist on considering the income only from software development. He further observed t....
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....nology consultancy service also falls under the head software development so as to bundle it under that head. 36. In Rampgreen Solutions (P.) Ltd.'s case (supra) on the aspect of employee cost it was held as under:- "38. ...even Vishal could not be considered as a comparable, as admittedly, its business model was completely different. Admittedly, Vishal's expenditure on employment cost during the relevant period was a small fraction of the proportionate cost incurred by the Assessee, apparently, for the reason that most of its work was outsourced to other vendors/service providers. The DRP and the Tribunal erred in brushing aside this vital difference by observing that outsourcing was common in ITeS industry and the same would not have a bearing on profitability. Plainly, a business model where services are rendered by employing own employees and using one's own infrastructure would have a different cost structure as compared to a business model where services are outsourced. There was no material for the Tribunal to conclude that the outsourcing of services by Vishal would have no bearing on the profitability of the said entity." 37. In Ness technologies....
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....n, software product testing, product maintenance and support, product release and license management, SAAS/SOA services, web 2.0 services etc ; enterprise application development services include customer relationship management, enterprise resource planning, business intelligence, knowledge management, enterprise application integration, consulting etc; ID services include global on- site/offshore software development, custom software development/bespoke software development, independent software testing, RIA/Ajax application development etc and technology expertise of this company includes the technology competency centers in relation to Microsoft competency Centre, Sun Java competency Centre, open source competency Centre, Cloud computing practice, mobility practice and BI practice. 40. Ld. TPO observed that an independent enterprise that has to survive on its own will make efforts to have different customers, i.e., unlike the assessee which actually faces a single customer risk. He further observed that the assessee has not recognized with this risk in its risk metrics. He, therefore, using his company as a comparable. 41. Ld. DRP considered all the submissions of the ass....
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....ionally comparable and we rely on the decision of Bangalore Tribunal in the case of 3DPLM Software Solutions Ltd. (supra) at Para 14.4: "14. E-Zest Solutions Ltd. 14.1 This company was selected by the TPO as a comparable. Before the TPO, the assessee had objected to the inclusion of this company as a comparable on the ground that it was functionally different from the assessee. The TPO had rejected the objections raised by the assessee on the ground that as per the information received in response to notice under section 133(6) of the Act, this company is engaged in software development services and satisfies all the filters. 14.2 Before us, the learned Authorised Representative contended that this company ought to be excluded from the list of comparables on the ground that it is functionally different to the assessee. It is submitted by the learned Authorised Representative that this company is engaged in 'e-Business Consulting Services', consisting of Web Strategy Services, I T design services and in Technology Consulting Services including product development consulting services. These services, the learned Authorised Representative co....
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....mpany, i.e. e-Zest Solutions Ltd. be omitted from the set of comparables for the period under consideration in the case on hand. The A.O./TPO is accordingly directed." Considering these facts and the decision of the Tribunal, we direct the Ld. TPO to exclude the E-Zest Solutions Limited from the list of the comparables. 45. It is clear from the above that the e-Zest solutions Ltd is a rendering product development services and high-end technical services which come under the category of capable services and on the ground is not comparable with a company which is into software development services. Though the Ld. DR stated that in the entire annual report there is no mention as to the sale of any product and entire income is from service, there is no explanation forthcoming before us justifying the entries at page No. 39,42 and 48 of the annual report on the aspect of inventories. 46. Having regard to the facts and circumstances of the case and more particularly in view of the profile of the easiest solutions as could be found in the annual report of this company in detail, where of the considered opinion that this company is rendering broad portfolio of services incl....
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....e potential comparable, it should not be used as a comparable. He further stated that there is no need to force an entity into the set of comparables, even in the options of dependable data, as there are sufficient good comparables. 50. While according to the Ld. TPO this company has not passed through the employee cost filter, Ld. DRP recorded that this company does not pass the turnover filter, and altogether different criteria tested by the Ld. DRP. 51. It is the submission of the assessee that the revenue from software services is more than 5 crores of rupees and the company passes the employee cost filter with the 69.45%. It is further submitted that there is no change in business model from the earlier years. In respect of AY 2009-10 the tribunal included this company in the set of comparables whereas for the AY 2010-11 Ld. DRP accepted this company. He, therefore, submits that in all fairness this company should have been included in the set of comparables. 52. We have perused the annual report of this company. At page No. 19 thereof under the head expenditure the cost of service is noted. Except this, we will not find any expenditure relating to the employee cost w....
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....rables. 54. It is submitted on behalf of the assessee that the quarterly financial statements for financial year 2010-11 are available. It is further brought to our notice that for AY 2010-11 this company is directed to be included vide orders in ITA No. 380/Del/2015. It is therefore clear that in respect of assessment years 2009-10 and 2010-11 this company finds a place in the list of comparables, suggesting that this company is functionality similar and is otherwise comparable with the assessee, but for want of the financial statements for the entire period of financial year 2010-11. Now it is submitted that the quarterly financial statements are available for FY 2010-11. In these circumstances, we direct the Ld. TPO to consider the quarterly financial statements for FY 2010-11 for the purpose of inclusion are otherwise of this company. Goldstone technologies Ltd 55. Assessee contends that this company is functionally comparable as is engaged only in software development activities. It is brought to our notice that fire AY 2010-11 this company was accepted as a good comparable by the Ld. DRP. Ld. ADR placed reliance on the orders of the authorities below. 56. We have ....
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....e in the relevant year. This fact is not controverted by the revenue. When it's not explained before us as to how a good comparable in the previous year has become non-comparable in this year, we are unable to accept the contention of the revenue that this company is not a good comparable. Further basing on the annual report of this company, we find that the export sales of this company Rs. 55,92,43,389/-, domestic sales are Rs. 5,38,83,429/-. It therefore appears that the percentage of the export sales to the total operating revenue is about 87.44% and thereby this company passes the export filter. As a matter of fact, this point was argued before the Ld. DRP. However, Ld. DRP did not touch this point in the discussion but stated that this company is functionally different inasmuch as it is into software testing services. 60. Be that as it may, there is no dispute that this company was accepted by the Ld. TPO in taxpayer's own case for the immediately preceding year and no change of circumstances either in the business model of the assessee or that of the comparable are brought to our notice. This suggests the functional comparability of the company to that of the taxpa....
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....that it failed the employee cost filter, stating that data relating to employee cost is not available to further analyze. Ld. DRP sustained the same. It is an undisputed fact that the TPO accepted LGS Global Ltd as a good comparable in respect of the assessment year 2010-11 and it is submitted by the Ld. AR that in the absence of any material to the contrary, we hold that this LGS Global Company is functionally comparable to the assessee. However, the aspect of employee cost filter has to be considered. 65. It is argued on behalf of the assessee that the employee cost of LGS global Ltd is 91.41% of the total costs. It is argued that the Ld. TPO relied on the terminology used in the profit and loss account "Purchase And Personal Cost" to hold that it indicates a combination of two expenses, namely, "Purchase" and "Personal Cost", but while doing so the Ld. TPO failed to appreciate that this terminology has been used for employee related costs only as there are no dealings of tangible items in this company. It is further submitted that this fact is also evident from the fact that the LGS Global does not have any inventory of stock in trade of goods are revenue from sale of such pu....
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....office support services only to CDS and is assured of a specified return on its costs. CDS is exposed to open market conditions that directly impact its business and thus it bears market risk. Since, Cadence India is compensated by way of an assured return, the Company does not bear any business risk. Credit and collection risk Credit and collection risk arises when an entity supplies products or services to a customer in advance of customer payment and runs the risk of default of such payment. Cadence India does not bear any credit and collection risk since it transacts with its associated enterprise i.e. CDS Service liability risk Service liability risk is borne by a company when its service offerings fail to perform at accepted or advertised standards and the company is required to compensate the customer or undertake defect resolution at its own cost. CDS is the ultimate contracting entity and therefore assumes the overall responsibility for the quality of the services rendered by Cadence India. Therefore, CDS bears the ultimate service liability risk. Utilization risk Utilization risk rel....
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....Name of the company Weighted average of operating profits on operating costs (%) 1 Accentia Technologies Ltd. 46.20% 2 Aditya Birla Minacs Worldwide Ltd. 0.30% 3 C G Vak Software & Exports Ltd. (Segmental) -2.39% 4 CaliberPoint Business Solutions Ltd. 18.09% 5 Cepha Imaging (P.) Ltd. 1.94% 6 Coral Hub Ltd. 41.04% 7 Cosmic Global Ltd. 32.71% 8 Fortune Infotech Ltd,. 9.95% 9 Informed Technologies India Ltd. 23.94% 10 Infosys BPO Ltd. 22.53% 11 Jeevan Softech Ltd. (Segmental) 46.34% 12 Jindal Intellicom (P.) Ltd. 6.39% 13 Microgenetics Systems Ltd. 0.87% 14 R. Systems International Ltd. (Segmental) 5.01% Arithmetic Mean 18.09% 68. However, learned TPO selected the following seven comparables with an average PLI of Rs. 31.74 and proposed an adjustment of Rs. 7,10,53,705/-. S.No. Name of the company OP/OC 1 Accentia Technologies Ltd. 29.18% 2 E4e Healthcare Business Services P. Ltd. 9.77% 3 Eclerx Services Ltd. 56.82% 4 ICRA Techno Analytics Ltd. (segment) 25.54% 5 Infosys BPO Ltd.....
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....comparable. He further brought it to our notice that in assessee's own case for the Asstt. Years 2009-10 and 2010-11, this company was found to be functionally different from the assessee. 74. Per contra, learned DR submitted that ATL is not a software development company and as could be seen from the financials of this company vide schedules forming part of the consolidated balance sheet at page no.67 under schedule 8 the company earns its income from health care information technology management. He further submitted that as per the profile of the assessee, it is not a typical IT enabled services provider confining only to back office support services inasmuch as the assessee also deals with the services including, - Unix Windows administration and support; Internal helpdesk services; Application development and support; Web development and support; and Customer support 75. He, therefore, submits that there is an element of development and support relating to software service in case of assessee also. He further submitted that the functional analysis depicted by the assessee in their TP study report at Item No.1 of Annexure 7....
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....spect of this company in the order relating to the AY 2009-10 are extracted in the order for the AY 2010-11. Independent of the acquisition, the fact stares at the face of the revenue and that there is consistent finding that ATL is functionally different from the assessee and in the immediately preceding paragraphs we also found so. We, therefore, hold that the ATL cannot be included in the list of comparables and the same is directed to be deleted from the list. EClerx Services Ltd.: 78. Assessee objected the inclusion of this company on the ground of functional dissimilarity. Learned TPO held that eClerx offering services in data analytical and processing which is part and parcel of ITES segment. He further stated that the Snapshots taken from the annual report prove that it is an ITES company operating in the same segment as that of the assessee. Learned DRP found that so long as the services of these companies are ITES services, variance in service lines and verticals does not matter. He further held that inasmuch as the assessee is authorised to provide the services like Unix Windows administration and support; Internal helpdesk services; Appl....
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....rates in an entirely different domain and not a good comparable. In the absence of any explanation as to the non applicability of these findings for the current year, we do not find any reason not to accept the same or to take a different view. We, therefore, direct the ld. AO/TPO to exclude this company from the list of comparables. Infosys BPO Limited and TCS E-Serve Limited: 83. Now coming to Infosys BPO Limited and TCS E-Serve Limited, these two companies are disputed by the assessee on the ground of functional dissimilarity inasmuch as Infosys BPO Ltd. is providing high end integrated services for business platforms, customer services outsourcing, finance and accounting, human resources outsourcing, legal process outsourcing, sales and fulfillment, sourcing and procurement outsourcing etc. And also having goodwill of Rs. 227 crores; whereas TCS e services providing technical services in the nature of software testing, verification and validation of software at the time of implementation and data centre management activities. Ld. AR submitted that both these companies are having significantly large scale operations. 84. Ld. TPO rejected these contentions and held that ....
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....more than 64 times than the assessee and even the turnover is also more than 67 times as compared to the assessee. This only goes to suggest that assets employed by "TCS e-serve" along with Hughes intangibles in the form of brand value definitely has a huge effect in PLI and vitiates the comparability under FAR analysis with a company like assessee which is a captive service of either without much intangibles and risks. Another important thing which has been pointed out by Ld. counsel is that, the operation of "TCS e-serve" broadly comprise of transaction processing and technical services including software testing, verification and validation for which no segmental bifurcations is available. In the options of such vital information of the margins of such varied segments it becomes quite difficult to put such company in the comparability basket so as to benchmark and correct profit margin.' It is, therefore, clear that because of the employee cost base of TCS e services at 64 times and turnover at 67 times compared to the assessee in such case, suggest that the assets employed by TCS e-serve with huge intangible in the form of brand value, definitely has a huge effect in PLI....
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....d by the Hon'ble jurisdictional High Court which is binding on this Tribunal. Merely because the binding precedent of the Hon'ble High Court in this order dated 28.11.2017 was not brought to the notice of the Tribunal when it pronounced its order on 5.11.2018 does not make any difference on the binding nature of this decision or its applicability to the facts of the present case. As a matter of law, had such decision been brought to the notice of the Tribunal in assessee's own case for the AY 2010-11, still it would have bound the Tribunal to follow the same. In the circumstances, we find no option but to follow the binding precedent of the jurisdictional High Court in the case of B.C. Management Services (P.) Ltd. (supra) and to hold that. Infosys BPO Limited and TCS E-Serve Limited are not good comparables to the assessee and both these companies deserve to be deleted from the list of comparables from bench marking the international transactions. R. Systems International Ltd 88. Now coming to the companies sought to be included, R. Systems International Ltd. was rejected by the ld. TPO on account of different financial year end. However, it is submitted by th....
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.... that its turnover is less than Rs. 1 crore. So far as exclusion of this comparable on basis of turnover filter criteria of less than Rs. 1 crore, we find that, first of all, it was a comparable chosen by the assessee and at the time of selection process the assessee as stated had not applied any turnover filter for accepting or rejecting the comparables. Once the turnover filter has not been applied at the quantitative level then comparability has to be done on qualitative level based on FAR analysis. If on FAR analysis it is found that there are differences on account of either assets deployed, risk assumed materially affecting the cost or margin then only comparability analysis fails in such cases. Further, under the TNMM, the comparability of an international transaction with an uncontrolled transaction is to be seen with reference to functions performed after taking into assets employed and the risk assumed. While reckoning the comparability analysis under TNMM, the main emphasis is into net margin realized on the transactions undertaken and not the price of the product or services. The transfer pricing rules under Rule 10B and 10C also contemplate for eliminating the material....
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....ancial Services Ltd. was rejected on the ground that this company failed the service income filter. And Cosmic Global Ltd. was rejected for failing the export earnings filter. Though it is submitted by the ld. AR that Datamatics and Cosmic Global were accepted by the TPO for AY 2010-11 and there is no change in the business model, it is not proved before us that in such AY 2010-11 also these two companies failed the service income filter and export turning filter respectively, but in spite of the same the ld. TPO accepted the same. Mere similarity in business model is not enough to accept the earlier order. It has to be shown that passing or failing of filters was also involved there. In the absence of any such proof it is very difficult to accept the contention of the assessee that since these two companies were accepted in the earlier years they have to be accepted for this year also irrespective of the passing or otherwise of these two filters. 94. Insofar as Microland is concerned, it is rejected for making persistent losses. Though diminishing revenues is not a ground to reject a company from the list of comparables, making persistent losses takes it away from the list of c....
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....s not stand correct in the case of assessee. The Learned AR submitted that in the subsequent years 2009-10 and 2010-11, the claimed deduction under sec. 1OA was allowed. He referred page Nos. The Learned AR also tried to point out typographical and arithmetical errors in the working of the disallowance under sec. 10A of the Act by the Assessing Officer at page Nos. 6 to 8 of the assessment order. ** ** ** 19. Considering the above submissions, we find that in the case of CTT v. Western Outdoor Interactive (P.) Ltd. (supra), the Hon'ble High Court has been pleased to hold that benefit of deduction under sec, 10A is available for a particular number of years on satisfaction of certain conditions under provisions of the Act and unless relief granted for first assessment year in which claim is made and accepted, the Assessing Officer cannot withdraw relief for subsequent years, Undisputedly, it is 8th year of the claim of deduction under sec. 1 OA of the Act made by the assessee and it has been allowed in earlier years and in subsequent remaining two assessment ....