TaxTMI 
TaxTMI 
2019 (9) TMI 921
X X X X Extracts X X X X
X X X X Extracts X X X X
....circumstance of the case and in law, the Tribunal was justified in law in directing the AO/TPO to make transfer pricing adjustment in respect of the international transaction only and not on the entire sales without considering the fact that the assessee had failed to prove that the margin of profit of the AE transaction is the same as the margin of profit of the non-AE transaction? (b) Whether on the facts and in the circumstances of the case and in law, the Tribunal was justified in directing the TPO to exclude Genesys International Corporation Ltd. And Cosmic Global Ltd., from the set of comparables without considering that the assessee had failed to prove that the said comparable did not satisfy the specific conditions prescribed in R....
X X X X Extracts X X X X
X X X X Extracts X X X X
....ndvik Asia (supra), this question does not give rise to any substantial question of law. Thus, not entertained. 4 Re. Question (b):- This question involves exclusion of two companies i.e. M/s. Genesys International Corporation Ltd., (Genesys) and M/s. Cosmic Global (Cosmic). We shall, therefore, deal with the exclusion of each of the two so-called comparable separately as under:- I M/s. Genesys:- (i) The impugned order of the Tribunal excluded M/s. Genesys from the list of comparable while bench marking the Arms Length Price (ALP) of theRespondent's activity of providing of IT based engineering services related to developing CAD/CAM of Auto Parts made available to its Associate Enterprises (AE); (ii) The impugned order of the Tribuna....
X X X X Extracts X X X X
X X X X Extracts X X X X
....aged in BPO providing services while the Respondent-Assessee is engaged in providing Information Technology Enabled (ITE) Services. It also records a finding that, M/s. Cosmic Global Ltd., had out-sourced the services which it provides unlike the Respondent who used their own engineers to provide services. Thus, found on fact that, M/s. Cosmic would not be a comparable; (ii) The above finding of fact is not shown to be perverse in any manner to give rise to any substantial question of law; (iii) In the above view, this question relating to exclusion of M/s. Genesys and M/s. Cosmic Global from the list of comparable does not give rise to any substantial question of law. Thus, not entertained. 5. Re. Question (c):- (i) In view of our a....