TaxTMI 
TaxTMI 
2018 (7) TMI 2160
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....puty Commissioner of Income Tax vs. Global e-Business Operations P. Ltd.,) for A.Y.2009-10. 2. The proposed substantial questions of law framed in the Memorandum of appeal by the Appellants-Revenue are quoted below for ready reference:- "(1) Whether on the facts and in the circumstances of the case, the Tribunal is right inlaw in holding that the expenses and foreign exchange loss reduced from the Export Turnover has to be reduced from the Total Turnover also following the ratio laid down by laid down by this Hon'ble Court in the case of CIT v/s. M/s.Tata Elxsi Ltd. even when said decision has been challenged before Apex Court by Revenue and no provision under section 10A provides for exclusion of such expenses from total turnover? (2)....
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....e total turnover if the same are reduced from the export turnover? While giving the answer to the issue, the High Court, inter-alia, held that when a particular word is not defined by the legislature and an ordinary meaning is to be attributed to it, the said ordinary meaning is to be in conformity with the context in which it is used. Hence, what is excluded from 'export turnover' must also be excluded from 'total turnover', since one of the components of 'total turnover' is export turnover. Any other interpretation would run counter to the legislativeintent and would be impermissible. 18. XXXXXX 19. In the instant case, if the deductions on freight, telecommunication and insurance attributable to the delivery of computer software unde....
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.... 11.2 Eclerx Services Ltd. xxxx Thus it is clear that the Special Bench found that this company is not comparable with BPO company which are engaged only in low end services of data processing. Accordingly, we direct the AO/TPO to exclude Eclerx Services Ltd. from the list of comparables for the purposes of determining ALP." "Thus it is clear that the revenue earned by this company is from the activity inclusive of operationprimarily relates to providing business process management services to other organization engaged in outsourcing business process. This company is not engaged in direct activity of BPO but it provides service to BPOs and that too management service to BPO. Therefore, in our considered view, this company is engaged....
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.... Tribunal in the case of Lam Research (India) Pvt. Ltd. vs. DCIT in ITA No.1437/Bang/2014 dated 30/4/2015. i)On the other hand, learned Departmental Representative has submitted that the comparability of this company has been examined by the TPO as well as by the DRP. The TPO has rejected the objections raised by the assessee in respect of this company by holding that the translation service are in the nature of ITeS and therefore, it qualifies all the filters applied by the TPO. He has relied upon the orders of the authorities below. ii)We have considered the rival submissions as well as the relevant material on record. There is no dispute that this company is in the business of providing service of medical transcription and consultanc....
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.... has held that risk adjustment can be allowed if the comparable companies remaining after the exclusion were independent risk bearing entities. The assessee therefore prayed that the TP Officer may be directed to provide risk adjustment to the assessee. 9.2 The Hon'ble Tribunal in the case of Moog Controls (India) Private Limited (supra) at para 29have directed to allow the actual adjustment towards the differences in the working capital position between the assessee and the entrepreneurial companies selected by the TP Officer. The assessee accordingly prayed that the TP Officer may be directed to provide actual working capital adjustment i.e., without restrictions. 9.3 We have considered the above submissions and found merit in them. I....
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....mparables have been rightly picked up or not, Filters for arriving at the correct list of comparables have been rightly applied or not, do not in our considered opinion, give rise toany substantial question of law. 56. We are therefore of the considered opinion that the present appeals filed by the Revenue do not give rise to any substantial question of law and the suggested substantial questions of law do not meet the requirements of Section 260-A of the Act and thus the appeals filed by the Revenue are found to be devoid of merit and the same are liable to be dismissed. 57. We make it clear that the same yardsticks and parameters will have to be applied, even if such appeals are filed by the Assessees, because, there may be cases wher....