“computer software”

Chapter III - Incomes Not IncludedSection 10BSection 10B Explanation 2 / Section 80HHF951 judgments

The decision most relied on for computer software is Engineering Analysis Centre of Excellence (P) Ltd. v. CIT (432 ITR 471), cited in 914 judgments on BharatTax.

Leading authorities on computer software

Engineering Analysis Centre of Excellence (P) Ltd. v. CIT

432 ITR 471 · 2021 · Supreme Court

914

citing judgments

Payments for the supply or use of computer software, where there is no transfer of copyright but only a right to use the copyrighted product, are generally considered business profits and not 'royalty' or 'fees for technical services' under the Income Tax Act, 1961 or relevant DTAAs. This principle also applies to transponder fees, which are not taxable as royalty.

CIT v. Samsung Electronics Ltd.

345 ITR 494 · 2012 · High Court

461

citing judgments

Payments by Indian residents to non-resident foreign software suppliers for software are considered royalty, constituting income deemed to accrue in India under section 9(1)(v), thereby requiring tax deduction at source under section 195.

DIT v. Infrasoft Ltd.

39 Taxmann.com 88 · 2013 · High Court

269

citing judgments

Payments for the use of copyrighted software, without the transfer of any rights in the underlying copyright itself, do not constitute 'royalty' under the Income-tax Act or tax treaties. Such payments are often treated as business income, taxable only if a permanent establishment exists.

III v. HCL Technologies Ltd.

93 Taxmann.com 33 · 2018 · Supreme Court

245

citing judgments

When computing the deduction available under Section 10A of the Income-tax Act, communication expenses must be excluded from the total turnover for the purpose of calculating the eligible relief.

CIT v. Synopsis International Old Ltd.

212 Taxmann 454 · 2013 · High Court

177

citing judgments

Payments for computer software are treated as royalty income under Section 9(1)(vi) of the Income-tax Act, particularly concerning the expanded definition provided by Explanation 2 and Explanation 4.

CIT v. Asahi India Safety Glass Ltd.

346 ITR 329 · 2012 · High Court

129

citing judgments

Expenses incurred for software license purchase, development of miscellaneous software, and maintenance of websites are considered revenue in nature. Such expenses are deductible in the year they are incurred.

Amway India Enterprises v. DCIT

111 ITD 112 · 2008 · ITAT

127

citing judgments

Depreciation is allowable on computer software, including software licenses, at the rate of 60%.

Kotak Mahindra Primus Ltd. v. DDIT

11 SOT 578 · 2007 · ITAT

citing judgments

Payments for data processing services using a mainframe computer and specialized software are not taxable as fees for the use of equipment if the Indian entity lacks independent rights or physical access to use the computer or software.

Judgments citing computer software

Addl CIT RG 7(1), Mumbai vs. Peninsula Land Ltd, Mumbai

In the result, appeal filed by the revenue is dismissed

ITA 4136/MUM/2012[2008-09]Status: DisposedITAT Mumbai12 Oct 2022AY 2008-09

Bench: Shri Vikas Awasthy, Hon'Ble & Shri S. Rifaur Rahman, Hon'Ble

ITA.No. 2833 & 2617/MUM/2013 (A.Y: 2009-10) M/s. Peninsula Land Ltd., Enterprises v. DCIT (supra) considered the question “whether the expenditure incurred on computer software is held to be of capital nature, what would be the rate of depreciation applicable thereon?”. The Special Bench decided that assesses would be entitled ... depreciation at 60% from 1.4.2003. While holding so the Special Bench held as under: “61. We have already discussed as to how computer software is a tangible property. Though a licensee, the person purchasing the disk or other medium containing the software is owner to the extent of the rights

Peninsula Land Ltd, Mumbai vs. Addl CIT 7(1), Mumbai

In the result, appeal filed by the revenue is dismissed

ITA 3717/MUM/2012[2008-09]Status: DisposedITAT Mumbai12 Oct 2022AY 2008-09

Bench: Shri Vikas Awasthy, Hon'Ble & Shri S. Rifaur Rahman, Hon'Ble

Softlayer Technologies India Private Limited, Bangalore vs. Assistant Commissioner of Income Tax, Circle- 6(1)(2), Bangalore

In the result, the appeal of the assessee is allowed for statistical purposes

ITA 265/BANG/2021[2016-17]Status: DisposedITAT Bangalore10 Oct 2022AY 2016-17

Bench: Shri George George K & Shri Laxmi Prasad Sahu

For Appellant: Shri Padamchand Khincha, C.AFor Respondent: Dr. Manjunath Karkihalli, CIT (DR)

Section 143(3)Section 92C

annexed to forming part of accounts, which is as under:- “Quantitative details are not furnished as the company is engaged in the development of computer software, providing services in IT and ITES.” 11.7 From the financial data it has also been observed that the CG Vak is incurring employee cost ... derives revenue from predominantly software segment, segmental details discussed in para 11.2 above. The intangibles referred in the asset Schedule represent the computer software and a such does not refer to any IPR or licence owned by the said purposes. Therefore, such intangibles cannot be equated to have rights

Ntt Data Fa Insurance Systems (India) Private Limited, Bangalore vs. The Deputy Commissioner of Income Tax, Circle-3(1)(1), Bangalore

In the result, appeal of the assessee is partly allowed for statistical purposes

ITA 261/BANG/2021[2016-17]Status: DisposedITAT Bangalore03 Oct 2022AY 2016-17

Bench: Shri N.V. Vasudevan & Shri Chandra Poojariit(Tp)A No.261/Bang/2021 Assessment Year: 2016-17

For Appellant: Shri T. Suryanarayana, Sr. A.RFor Respondent: Shri Sumer Singh Meena, D.R

Section 143(3)Section 92C

rendering software services. The information at page 323 of the annual report also clarify that the company is engaged in development and maintenance of computer software. The IT(TP)A No.261/Bang/2021 NTT Data FA Insurance Systems (India) Pvt. Ltd., Bangalore Page 19 of 37 operational revenue stream is mainly from ... considered the submissions, on perusal of the annual report, noted that this company is engaged in rendering services relating to maintenance and testing of computer software for the payment industry. As per information given at page 125 of the annual report, 'the company has focused exclusively on providing software solution

Hewlett Packard (India) Software Operation Private Limited, 2016-17 vs. Deputy Commissioner of Income Tax, Circle-3(1)(1), Bangalore

In the result, the appeal filed by the assessee is partly allowed for statistical purposes

ITA 213/BANG/2021[2016-17]Status: DisposedITAT Bangalore03 Oct 2022AY 2016-17

Bench: Shri N.V. Vasudevan & Shri Chandra Poojariit(Tp)A No.213/Bang/2021 Assessment Year: 2016-17

For Appellant: Shri Padam Chand Khincha, A.RFor Respondent: Capt. Pradeep Arya, D.R

Section 133(6)Section 143(3)Section 92C

annual report. As per that information, the company has reported intangible assets worth Rs.741.07 million as at 31-3-2016, which comprises computer software of value Rs.553.51 million and intangible assets under development of Rs.187.56 million. There is no information as to any intellectual property rights developed or license owned ... company. The computer software referred to were normal software used by any software company and hence it cannot be construed as a unique or non-routine asset. The reference to intangibles under development also indicates that as at the end of the year, it does not possess its own intellectual

Technimont Spa India Project Office, Mumbai vs. Addl DIT (It) RG 2, Mumbai

In the result, the appeal of the assessee is allowed

ITA 691/MUM/2013[2008-09]Status: DisposedITAT Mumbai30 Sept 2022AY 2008-09

Bench: Shri B. R. Baskaran, Am & Shri Aby T. Varkey, Jm आयकर अपील सं/ I.T.A. No.691/Mum/2013 (निर्धारण वर्ा / Assessment Years: 2008-09) M/S. Tecnimont Spa India बिधम/ Additional Director Of Office Income Tax-(It)-Range-2 Vs. Tecnimont Icb House, 1St Floor, R. No. 108, Chincholi Bunder, 504 Link Scindia House, Ballard Road, Malad (W), Mumbai- Estate, N. M. Road, 400064. Mumbai-400038. स्थधयी लेखध सं./जीआइआर सं./Pan/Gir No. : Aaact8224A (अपीलार्थी /Appellant) .. (प्रत्यर्थी / Respondent) Assessee By: Shri M. P. Lohia/ Shri Pranav Gandhi Revenue By: Ms. Vatsalaa Jha (Dr) सुनवाई की तारीख / Date Of Hearing: 10/08/2022 घोषणा की तारीख /Date Of Pronouncement: 30/09/2022 आदेश / O R D E R Per Aby T. Varkey, Jm: This Is An Appeal Preferred By The Assessee Against The Order Of The Assessing Officer (Hereinafter “Ao”) Dated 30.11.2012 Passed U/S 143(3) Read With Section 144C(1) Of The Income Tax Act, 1961 (Hereinafter “The Act”). 2. At The Outset, The Ld. Ar Of The Assessee Brought To Our Notice That The Only Issue Is Regarding The Transfer Pricing Adjustment Made By The Ao Pursuant To The Dispute Resolution Panel (Drp) Direction. According To The Ld. Ar, The Assessee Is A Foreign Company Incorporated At Milan, Italy & It Has A Project Office In India Which Is The Permanent Establishment (Pe). According To The Ld. Ar, The Assessee Has Been Awarded A Project By M/S. Indian Oil Corporation (Hereinafter “M/S. Iocl”) At Panipat Project. The Assessee In Turn Has Awarded The Same Project To Two (2) Of Its Associated Enterprises/Ae’S

For Appellant: Shri M. P. Lohia/ Shri PranavFor Respondent: Ms. Vatsalaa Jha (DR)

Section 143(3)Section 144C(1)Section 92B

Tecnimont SPA India 10. The assessee is a wholly owned subsidiary of Tecnimont ICB Pvt. Ltd. and engaged in the execution of computer software and information technology enables services, engineering design under the software development park scheme of Govt. of India. At the outset we note that

American Chemical Society, Gurgaon vs. The Asstt. CIT (International Taxation)-1(3)(2), Mumbai

In the result, appeal by the assessee is allowed for statistical purpose

ITA 1521/MUM/2022[2018-19]Status: DisposedITAT Mumbai29 Sept 2022AY 2018-19

Bench: Shri Prashant Maharishi & Shri Sandeep Singh Karhail

For Appellant: Shri Vishal KalraFor Respondent: Shri S.H. Usmani

Section 143(3)Section 144C(13)Section 253(1)(d)Section 9(1)(vi)

also relevant. A person can be said to have acquired a copyright or the right to use the copyright in a computer software or database (as described by the Assessing Officer), where he is authorized to do all or any of the acts as per the definition of the term

American Chemical Society, Gurgaon vs. The Asstt. CIT (International Taxation)-1(3)(2), Mumbai

In the result, appeal by the assessee is allowed for statistical purpose

ITA 1520/MUM/2022[2019-20]Status: DisposedITAT Mumbai29 Sept 2022AY 2019-20

Bench: Shri Prashant Maharishi & Shri Sandeep Singh Karhail

For Appellant: Shri Vishal KalraFor Respondent: Shri S.H. Usmani

Section 143(3)Section 144C(13)Section 253(1)(d)Section 9(1)(vi)

Novartis India Ltd, Mumbai vs. Addl CIT RG 7(1), Mumbai

In the result, appeal filed by the assessee is partly allowed as stated above

ITA 7644/MUM/2012[2008-09]Status: DisposedITAT Mumbai28 Sept 2022AY 2008-09

Bench: Shri Amit Shukla, Hon'Ble & Shri S. Rifaur Rahman, Hon'Blem/S. Novartis India Limited Addl. Cit, Range 7(1) V. Aayakar Bhavan, M.K. Road Sandoz House, Dr. Annie Besant Road Worli, Mumbai - 400018 Mumbai Pan: Aaach2914F Appellant Respondent Assessee Represented By : Shri Rajan Vora & Shri Pranay Gandhi Revenue Represented By : Shri Rajneesh Yadav

Section 144C(5)Section 35DSection 92C(2)

respect of disallowance of expenditure incurred on computer software/license fees for an amount of ₹.46,92,440/-. Ld. AR submitted that the assessee incurs computer software packages/license fees on application software packages, implementation charges and upgradation of existing softwares. The softwares are frequently 26 M/s. Novartis India Limited outdated ... needs to be replaced. However, the Assessing Officer has rejected the treatment adopted by the Assessee and has assessed the expenditure incurred on computer software/ license fee to be capital in nature citing enduring benefits. Consequently, claim for expense has been disallowed whilst providing relief for depreciation on the same

DCIT 4(3)(1), Mumbai vs. The Rialto Exim P. Ltd, Mumbai

In the result, Ground No.1 raised by the Revenue is dismissed

ITA 1444/MUM/2016[2011-12]Status: DisposedITAT Mumbai16 Sept 2022AY 2011-12

Bench: Shri Amit Shukla & Shri Gagan Goyal

For Appellant: Sh. Dharmvir Yadav, CIT-DRFor Respondent: None

Section 10Section 10ASection 143Section 143(2)Section 4Section 4(11)

Rules, 2006 which inter alia includes trading. The extract of the rule 76 is reproduced as under: "Trading, warehousing, research and development services, computer software services, including information enabled services such as back-office operations, call centres, content development or animation, data processing, engineering and design, graphic information system services

ACIT Corporate Circle 6(1), Chennai vs. Seventh Sense Technologies Pvt Ltd., Chennai

In the result, appeal filed by the Revenue is allowed

ITA 1296/CHNY/2019[2010-11]Status: DisposedITAT Chennai15 Sept 2022AY 2010-11

Bench: Shri Mahavir Singh, Vice- & Shri G. Manjunatha

For Respondent: 15.09.2022

Section 115JSection 143(3)

treated as an ascertained liability.” 3. Brief facts of the case are that the assessee is a company engaged in the business of computer software filed its return of income for the assessment year 2010-11 on 29.09.2010 admitting total income of Rs.4,00,033/- under normal provisions

Rialto Exim, Mumbai vs. ITO 14(3)(4), Mumbai

In the result appeal of revenue is dismissed

ITA 2316/MUM/2014[2010-11]Status: DisposedITAT Mumbai14 Sept 2022AY 2010-11

Bench: Shri Amit Shukla & Shri Gagan Goyalm/S Rialto Exim 907, Jewel World, Kalbadevi Road, Mumbai-400002 Pan: Aakfr3441G ...... Appellant Vs. Ito, Ward-14(3)(2), Earnest House, Nariman Point, Mumbai- 400 021. ..... Respondent Ito, Ward-14(3)(2), Earnest House, Nariman Point, Mumbai- 400 021. ..... Appellant Vs. M/S Rialto Exim 907, Jewel World, Kalbadevi Road, Mumbai-400002 Pan: Aakfr3441G ...... Respondent Appellant/Assessee By : Sh. Jayant Bhatt Respondent/Respondent By : Sh. Dharmvir Yadav/Sh. R.A. Dhyani Date Of Hearing : 20/06/2022 Date Of Pronouncement : 14/09/2022

For Appellant: Sh. Jayant BhattFor Respondent: Sh. Dharmvir Yadav/Sh. R.A. Dhyani

Section 10Section 10ASection 133ASection 143(2)Section 145

ITO 2(3)(3), Mumbai vs. Zensar Technologies Ltd, Mumbai

In the result, appeal by the assessee is allowed for statistical purpose

ITA 955/MUM/2013[2002-03]Status: DisposedITAT Mumbai14 Sept 2022AY 2002-03

Bench: Shri G.S. Pannuand Shri Sandeep Singh Karhail

For Appellant: Shri Mihir NaniwadekarFor Respondent: Shri Anil Kumar Das

Section 10ASection 115JSection 143(3)Section 250Section 263Section 80HSection 92C

units at SEEPZ, Noida, Ashok Plaza, Pune and Mohali, Chandigarh. It provides technical services outside India in connection with the development and production of computer software in respect thereto. During the year under consideration, the assessee filed return of income on 24/10/2002 declaring book profit ... find that provisions of Section 80HHE of the Act allows deduction of profit derived from the business of export out of India of computer software for providing all technical services outside India in connection with development or production of computer software. It is not in dispute that the assessee

Zensar Technologies Ltd, Mumbai vs. ACIT 2(3), Mumbai

In the result, appeal by the assessee is allowed for statistical purpose

ITA 276/MUM/2013[2002-03]Status: DisposedITAT Mumbai14 Sept 2022AY 2002-03

Bench: Shri G.S. Pannuand Shri Sandeep Singh Karhail

For Appellant: Shri Mihir NaniwadekarFor Respondent: Shri Anil Kumar Das

Section 10ASection 115JSection 143(3)Section 250Section 263Section 80HSection 92C

Nxp India Private Limited, Bangalore vs. Deputy Commissioner of Income Tax, Circle-5(1)(1), Bangalore

In the result, the appeal by the assessee is partly allowed

ITA 264/BANG/2021[2016-17]Status: DisposedITAT Bangalore13 Sept 2022AY 2016-17

Bench: Shri N.V. Vasudevan & Ms. Padmavathy S

For Appellant: Shri Vikram Vijayaraghavan, AdvocateFor Respondent: Shri V S Chakrapani, CIT(DR)(ITAT), Bengaluru

Section 143(2)Section 143(3)Section 234BSection 271(1)(c)Section 92C

Stand alone" equipment. In such cases this cannot be considered a component of a computer or computer Hardware. Giving another example, a computer software can be used in many devices including washing machine, televisions, telephone equipment etc. When such software is used in those devices, it integrates with that particular ... devices. The predominant function of the device determines its classification. Only if the Computer software, resides in a computer, then it become a part and parcel of a computer and, as long as it is as integral part of a computer, it is classified as a 'Computer'. 31.4 In view

M/S Bosch Limited, Bangalore vs. Assistant Commissioner of Income Tax Ltu Circle-1, Bangalore

In the result, appeal of the assessee is partly allowed

ITA 1629/BANG/2018[2013-14]Status: DisposedITAT Bangalore13 Sept 2022AY 2013-14

Bench: Shri N.V. Vasudevan & Ms. Padmavathy Sassessment Year : 2013-14 Bosch Limited, Vs. The Assistant Commissioner Hosur Road, Adugodi, Of Income Tax, Ltu, Bangalore – 560 030. Circle 1, Pan: Aaacm 9840P Bangalore. Appellant Respondent Appellant By : Shri Percy Pardiwala, Advocate Respondent By : Shri V S Chakrapani, Cit(Dr)(Itat), Bengaluru. Date Of Hearing : 01.09.2022 Date Of Pronouncement : 13.09.2022 O R D E R Per Padmavathy S.2. This Appeal Is Against The Order Of The Cit(Appeals), Bangalore-9, Bangalore Dated 31.3.2018 For The Assessment Year 2013- 14. 3. The Assessee Raised Grounds Pertaining To The Following Issues:- Deduction U/S. 35(2Ab) Computed On Net Expenditure As Opposed To Gross Expenditure Disallowance Of Provision For Bad & Doubtful Debts I) Disallowance Of Provision For Long Term Service Award Disallowance Of Expenditure U/S. 14A Of The Act Ii) Page 2 Of 67

For Appellant: Shri Percy Pardiwala, AdvocateFor Respondent: Shri V S Chakrapani, CIT(DR)(ITAT), Bengaluru

Section 14ASection 35Section 37Section 43BSection 80J

that the said benefit should form part of the profit-making apparatus of the assessee’s business. The question whether expenditure incurred on computer software is capital or revenue has to be seen from the point of view of its utility to a businessman and how important an economic ... role it plays in his business. In other words, the functional test becomes more important and relevant because of the peculiar nature of the computer software and its possible use in different areas of business touching either capital, or revenue field or its utility to a businessman which may touch

Pr. CIT Circle-2, Mumbai vs. Bharat Prtroleum Corporation Ltd., Mumbai

In the result, the appeal of the assessee is partly allowed

ITA 1601/MUM/2020[2016-17]Status: DisposedITAT Mumbai05 Sept 2022AY 2016-17

Bench: Shri Pramod Kumar, Vp & Shri Aby T. Varkey, Jm आयकर अपील सं/ I.T.A. No.1601/Mum/2020 (निर्धारण वर्ा / Assessment Year: 2016-17) Bharat Petroleum बिधम/ Pcit, Circle-2 Corporation Ltd. Room No.344, Aayakar Vs. Taxation Section, Bhavan, M. K. Road, 4Th Floor, Bharat Bhavan 1, Mumbai-400020. 4 & 6 Currimbhoy Road, Ballard Estate, Mumbai- 400001. स्थधयी लेखध सं./जीआइआर सं./Pan/Gir No. : Aaacb2902M (अपीलार्थी /Appellant) .. (प्रत्यर्थी / Respondent) Assessee By: Shri Jehangir D. Mistry Revenue By: Dr. Mahesh Akhade (Dr) सुनवाई की तारीख / Date Of Hearing: 28/06/2022 घोषणा की तारीख /Date Of Pronouncement: 05/09/2022 आदेश / O R D E R Per Aby T. Varkey, Jm: This Appeal Has Been Preferred By The Assessee Against The Order Of The Ld. Principal Commissioner Of Income Tax-02 [Hereinafter Referred To As The “Pcit”], Mumbai Dated 21.02.2020 For Assessment Year [Hereinafter Referred To As “Ay”] 2016-17 Passed Under Section 263 Of The Income Tax Act, 1961 [Hereinafter Referred To As “The Act”].

For Appellant: Shri Jehangir D. MistryFor Respondent: Dr. Mahesh Akhade (DR)

Section 10(34)Section 142(1)Section 143(3)Section 2Section 263Section 32A

office premises or any residential accommodation, including accommodation in the nature of a guest house; (iii) any office appliances including computers or computer software; (iv) any vehicle; or (v) any plant or machinery, the whole of the actual cost of which is allowed as deduction (whether by way of depreciation ... office premises or any residential accommodation, including accommodation in the nature of a guest house; (iii)any office appliances including computers or computer software; (iv)any vehicle; or (v)any plant or machinery, the whole of the actual cost of which is allowed as deduction (whether by way of depreciation

Income Tax Officer 8(1)(4), Mumbai vs. M/S.Quest 2 Travel.Com India Private Limited, Mumbai

In the result, appeal filed by the Revenue is dismissed

ITA 1527/MUM/2018[2011-12]Status: DisposedITAT Mumbai01 Sept 2022AY 2011-12

Bench: Shri Om Prakash Kant() & Smt. Kavitha Rajagopal () Ito 8(1)(4), Mumbai Vs M/S Quest 2 Travel.Com India Pvt Ltd 28Th Floor, The Ruby, Senapati Bapat Room No.662, M.K. Road, Aayakar Bhavan, Mumbai-400 020 Marg, Dadar (West), Mumbai-400 028 Pan : Aaaco0519P Appellant Respondent

Section 139(1)Section 143(3)Section 250Section 43Section 43B

agent for various airlines. The assessee stated that being a .com company, the assessee was carrying out its business transaction with the help of computer software which generates details pertaining to each travel ticket issued by the assessee to its customers alongwith details of administrative charges including the customer discount

Dassault Systems Solidworks Corporation, Chennai vs. The ACIT (Intl Tax) -2(1) (2), Mumbai

In the result, the appeal is allowed

ITA 431/MUM/2022[2018-19]Status: DisposedITAT Mumbai26 Aug 2022AY 2018-19

Section 143(3)Section 234ASection 234BSection 9(1)(vi)

/2018) (vide order dated 02 March 2021) held that the amount paid by resident Indian end users/distributors to non-resident computer software manufacturers/ suppliers, is not payment for royalty for the use of copyright in the computer software, and held that such income shall not taxable in the hands

M/S Infineon Technologies India Private Limited, Bangalore vs. Deputy Commissioner of Income Tax Circle-3(1)(1), Bangalore

ITA 3355/BANG/2018[2014-15]Status: DisposedITAT Bangalore25 Aug 2022AY 2014-15

Bench: Shri Chandra Poojari & Smt. Beena Pillaiit(Tp)A No. 3355/Bang/2018 Assessment Year : 2014-15 M/S. Infineon Technologies India Pvt. The Deputy Ltd., Commissioner Of 9Th Floor, Prestige Income Tax, Thirulakshmi, Circle – 3(1)(1), No. 11, Mg Road, Vs. Bangalore. Bangalore. Pan: Aabcs6967N Appellant Respondent : Shri K.R. Vasudevan, Assessee By Advocate : Shri Sumer Singh Meena, Revenue By Cit Dr Date Of Hearing : 12-07-2022 Date Of Pronouncement : 25-08-2022 Order Per Beena Pillaipresent Appeal Is Filed By Assessee Against Assessment Order Dated 26/10/2018 By The Ld.Dcit, Circle – 3(1)(1), Bangalore On Following Grounds Of Appeal: “A. Transfer Pricing The Grounds Mentioned Hereinafter Are Without Prejudice To One Another. 1. The Learned Assessing Officer ('Learned Ao'), Learned Transfer Pricing Officer ('Learned Tpo') & The Honourable Dispute Resolution Panel ('Hon'Ble Drp') Grossly Erred In Adjusting The Transfer Price By Inr 9,56,93,721/- With Respect To The International

For Respondent: Shri K.R. Vasudevan

Section 92C

specification or requirements agreed with the AEs. ITIPL carries out oil the necessary testing to ensure correctness, completeness, security and quality of developed computer software . During the testing phase, if any software bugs are identified in the modules developed by ITIPL, it is the responsibility of ITIPL ... embedded in the computer. The Ld.AR submitted that in the schedule to Appendix 1 in Part A, plant and machinery includes computers and computer software that is eligible for a 60% depreciation. The Ld.AR in support relied on decision of Hon’ble Bombay High Court in case