PRACTO TECHNOLOGIES PRIVATE LIMITED,BANGALORE vs. THE DEPUTY COMMISSIONER OF INCOME TAX , CENTRAL CIRCLE 1(3), BENGALURU, BANGALORE

In the result the appeal of the assessee is allowed

Bench: SHRI WASEEM AHMED (Accountant Member), SHRI KESHAV DUBEY (Judicial Member)

Method of computation of capital gains on transfer of IP to AE Practo Pte Ltd., Singapore (Without prejudice to Ground of Appeal No. 8) 12.1. On the facts and circumstances of the case and in law, the Hon’ble DRP/Learned AO erred in bringing to tax the gains on transfer of IP without appreciating the fact that the computation mechanism

WIPRO LIMITED,BANGALORE vs. ASSISTANT COMMISSIONER OF INCOME TAX, CIRCLE-7(1)(1), BANGALORE

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

Bench: Smt. Beena Pillai & Shri Laxmi Prasad Sahu

capital expenditure and it is only a revenue expenditure. Further, in the following decision it was held that study undertaken in IT(TP)A No.370/Bang/2021 Page 26 of 110 relation to an existing business is revenue in nature. [CIT v. Manganese Ore India Ltd [2016] 67 Taxmann.com 268 (Bombay), ITO v. Dodsal Mfg P Ltd [1984] 19 Taxman 27 (Ahmedabad

TE CONNECTIVITY INDIA PRIVATE LIMITED,BANGALORE vs. THE OFFICE OF THE DEPUTY COMMISSIONER OF INCOME-TAX, CIRCLE 7(1)(1), BANGALORE

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

Bench: Shri Waseem Ahmed & Shri Soundararajan K

gain on defined employee benefit plan as an operating item and recompute the PLI of the assessee for the relevant segments. The ground raised by the assessee on this issue is allowed 17.6 The interconnected issue raised by the assessee through Ground Nos. 4, 7, 8 & 9 of the appeal are interconnected and pertains to inclusion of certain comparable companies

LENOVO (INDIA) PRIVATE LIMITED,BANGALORE vs. INCOME TAX OFFICER WARD- 4(1)(1), BANGALORE

In the result, the appeal of the assessee is partly allowed for above terms

Bench: Smt. Beena Pillai & Shri Laxmi Prasad Sahu

method adopted by the Appellant in its the TP documentation. 9. The Honourable DRP and the learned AO / TPO have erred in law in adopting the below filter for conducting TP analysis: a. Rejection of comparable companies having different financial year ending (other than March 31, 2016) b. Rejection of companies having persistent losses 10. The Honourable

M/S. CONTINENTAL AUTOMOTIVE COMPONENTS INDIA PRIVATE LIMITED,BENGALURU vs. DEPUTY COMMISSIONER OF INCOME TAX, CIRCLE-2(1)(1), BANGALORE

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

Bench: Shri George George K. & Ms. Padmavathy S

gains in the operating income IT(TP)A No.280/Bang/2021 Page 21 of 115 of assessee, both to be excluded from the operating expenses as well as operating income respectively in view of the Order of Tribunal in the case of Moronic India Automotive (P.) Ltd. (supra) in for assessment year 2009-10 vide order dated 17.08.2016 wherein held that

DEPUTY COMMISSIONER OF INCOME TAX CIRCLE-3(1)(1), BANGALORE vs. M/S INFOSYS LIMITED , BANGALORE

In the result, the appeal filed by the assessee as well as by revenue are partly allowed for statistical purposes

Bench: Shri N.V. Vasudevan & Shri Chandra Poojariit(Tp)A No.735/Bang/2018 Assessment Year: 2013-14

method as may be prescribed70 if the Assessing Officer, having regard to the accounts of the assessee, is not satisfied with the correctness of the claim of the assessee in respect of such expenditure in relation to income which does not form part of the total income under this Act. (3) The provision of sub-section (2) shall also apply

M/S INFOSYS LTD ,BANGALOR E vs. THE ASSISTANT COMMISSIONER OF INCOME TAX CIRCLE-3(1)(1), BANGALORE

In the result, the appeal filed by the assessee as well as by revenue are partly allowed for statistical purposes

Bench: Shri N.V. Vasudevan & Shri Chandra Poojariit(Tp)A No.735/Bang/2018 Assessment Year: 2013-14

method as may be prescribed70 if the Assessing Officer, having regard to the accounts of the assessee, is not satisfied with the correctness of the claim of the assessee in respect of such expenditure in relation to income which does not form part of the total income under this Act. (3) The provision of sub-section (2) shall also apply

M/S. UNITED BREWERIES LIMITED,BANGALORE vs. JOINT COMMISSIONER OF INCOME TAX, SPECIAL RANGE-7, BANGALORE

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

Bench: Shri Chandra Poojari & Smt. Beena Pillai

TP)A No.2532/Bang/2019 United Brewries Ltd., Bangalore Page 46 of 70 examined by Hon'ble Delhi High Court in the case of Modi Revelon P Ltd (supra) and the relevant discussions made by the High Court are extracted below:- “22. As far as the second aspect, i.e. expenditure for promotion of the brand is concerned, there is no doubt that

ATOS IT SERVICES PRIVATE LIMITED,BANGALORE vs. ASSISTANT COMMISSIONER OF INCOME TAX, CIRCLE-1(1)(1), BANGALORE

In the result, the appeal filed by the assessee stands partly allowed

capital adjustment will appropriately take into account the delayed/outstanding receivables from the AEs and separate TP adjustment thus will not be warranted. 3.2. Without prejudice to above, the Ld. AO/ Ld. DRP/Ld. TPO erred in computing notional interest on overdue foreign currency receivables at SBI short term deposit rate instead of foreign currency denominated rate i.e. LIBOR rates. The Appellant

AUTODESK INDIA PRIVATE LIMITED,BANGALORE vs. DEPUTY COMMISSIONER OF INCOME TAX, CIRCLE-1(1)(1), BANGALORE

The appeal of the assessee is allowed

Bench: Shri George George K. & Ms. Padmavathy S.

TP) 553/Bang /2022 dated 09.02.2023) has held that the assessee is entitled to claim depreciation on goodwill and that since the disallowance made in the current year is on the WDV of the same goodwill, the issue is squarely covered by the decision of the coordinate bench. 4. The ld DR on the other hand vehemently argued that the fair

M/S DELL INTERNATIONAL SERVICES INDIA PVT LTD ,BANGALORE vs. ADDITIONAL COMMISSIONER OF INCOME TAX (LTU) , BANGALORE

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

Bench: Shri George George K, Jm & Ms.Padmavathy S, Am It(Tp)A No.2835/Bang/2017 : Asst.Year 2013-2014 M/S.Dell International Services The Additional Commissioner India Private Limited Of Income-Tax (Ltu) V. Bangalore. Divyashree Greens, Sy.Nos.12/1, 12/2A & 13/1A,Challaghatta Village,Varthur Hobli Bengaluru – 560 071. Pan : Aaach1925Q. (Appellant) (Respondent) Appellant By : Sri.T.Suryanarayana, Advocate Respondent By : Sri.Praveen Karanth, Cit-Dr Date Of Pronouncement : 20.01.2023 Date Of Hearing : 13.01.2023 O R D E R Per George George K, Jm : This Appeal At The Instance Of The Assessee Is Directed Against Final Assessment Order Dated 30.11.2017 Passed U/S 143(3) R.W.S. 144C Of The I.T.Act. The Relevant Assessment Year Is 2013-2014. 2. The Brief Facts Of The Case Are As Follows: The Assessee Is A Company, Engaged In The Business Of Manufacturing & Trading In Computer Systems Including Support & Maintenance Services & Leasing Of Computers. For The Assessment Year 2013-2014, The Return Of Income Was Filed On 30.11.2013 Declaring Total Income Of Rs.22,31,24,760. The Assessment Was Selected For Scrutiny & Notice U/S 143(2) Of The I.T.Act Was Issued On 2 It(Tp)A No.2835/Bang/2017. M/S.Dell International Services India Private Limited. 11.09.2014. During The Course Of Assessment Proceedings, It Was Noticed That The International Transactions Entered By The Assessee With Its Associated Enterprises (Aes) Had Exceeded The Prescribed Limit, Hence, The Matter Was Referred To The Transfer Pricing Officer (Tpo) To Determine The Arm’S Length Price (Alp) Of The Said Transaction. The Tpo Passed Order U/S 92Ca Of The I.T.Act On 19.10.2016. In The Said Order, The Tpo Had Proposed Following Adjustments:-

capital in nature for the reasons that (i) the Form 3CD filed for AY 2012-13 noted the said expenditure aggregating Rs. 4,25,15,813/- as capital expenditure debited to profit and loss account; (ii) it was incurred towards purchase / acquiring of assets; and (iii) it is one time investment by the Assessee and lifetime of the assets

GOOGLE IRELAND LIMITED,IRELAND vs. DCIT (IT), JCIT(OSD) (IT) - CIRCLE 1(1), BENGALURU

In the result, the appeals of the assessee are partly allowed

TP)A 1513 to\n1516/Bang/2013 the issue was decided in favour of GIPL by the Tribunal by\nholding that the impugned payment made by it to GIL cannot be\ncharacterised as royalty under Act or DTAA. The relevant findings of the\nTribunal in the case of payer, i.e. GIPL reads as follows: -\n“13. We have heard rival submissions

GOOGLE IRELAND LIMITED,IRELAND vs. DCIT (IT), JCIT(OSD) (IT) - CIRCLE 1(1), BENGALURU

In the result, the appeals filed by the assessee are allowed

Bench: Shri George George K. & Shri Laxmi Prasad Sahu

TP)A 1513 to 1516/Bang/2013 the issue was decided in favour of GIPL by the Tribunal by IT(IT)A Nos.191 to 194/Bang/2024 Page 6 of 43 holding that the impugned payment made by it to GIL cannot be characterised as royalty under Act or DTAA. The relevant findings of the Tribunal in the case of payer, i.e. GIPL reads

GOOGLE IRELAND LIMITED,IRELAND vs. DCIT (IT), JCIT(OSD) (IT) - CIRCLE 1(1), BENAGLURU

TP)A 1513 to\n1516/Bang/2013 the issue was decided in favour of GIPL by the Tribunal by\nholding that the impugned payment made by it to GIL cannot be\ncharacterised as royalty under Act or DTAA. The relevant findings of the\nTribunal in the case of payer, i.e. GIPL reads as follows: -\n“13. We have heard rival submissions

GOOGLE IRELAND LIMITED,IRELAND vs. DCIT (IT), JCIT(OSD) (IT) - CIRCLE 1(1), BENGALURU

In the result, the appeals filed by the assessee are allowed

Bench: Shri George George K. & Shri Laxmi Prasad Sahu

TP)A 1513 to 1516/Bang/2013 the issue was decided in favour of GIPL by the Tribunal by IT(IT)A Nos.191 to 194/Bang/2024 Page 6 of 43 holding that the impugned payment made by it to GIL cannot be characterised as royalty under Act or DTAA. The relevant findings of the Tribunal in the case of payer, i.e. GIPL reads

M/S. UNITED BREWERIES LIMITED,BANGALORE vs. DEPUTY COMMISSIONER OF INCOME TAX, CIRCLE 7(1)(1), BANGALORE

In the result, the appeals of the assessee are partly allowed for statistical purposes

Bench: Shri Chandra Poojari & Smt. Beena Pillai

method under Rule 8D of the Income Tax Rules, 1962.” (underlining supplied) IT(TP)A No.345/Bang/2021 & M/s. United Breweries Ltd., Bangalore Page 34 of 50 3.7 In view of the above judgment of the Hon’ble Madras High Court in the case of M/s.Marg Limited v. CIT (supra), it is clear that the disallowance u/s 14A of the I.T.Act cannot

UNITED BREWERIES LIMITED,BANGALORE vs. JOINT COMMISSIONER OF INCOME TAX, SPECIAL RANGE- 7, BANGALORE

In the result, the appeals of the assessee are partly allowed for statistical purposes

Bench: Shri Chandra Poojari & Smt. Beena Pillai

method under Rule 8D of the Income Tax Rules, 1962.” (underlining supplied) IT(TP)A No.345/Bang/2021 & M/s. United Breweries Ltd., Bangalore Page 34 of 50 3.7 In view of the above judgment of the Hon’ble Madras High Court in the case of M/s.Marg Limited v. CIT (supra), it is clear that the disallowance u/s 14A of the I.T.Act cannot

M/S. ABB GLOBAL INDUSTRIES AND SERVICES PRIVATE LIMITED (EARLIER KNOWN AS ABB GLOBAL INDUSTRIES AND SERVICES LIMITED),BANGALORE vs. DEPUTY COMMISSIONER OF INCOME TAX, CIRCLE-1(1)(1), BANGALORE

In the result, the appeal filed by the assessee stands allowed as indicated hereinabove

Bench: Smt. Beena Pillai & Ms. Padmavathy Sit(Tp)A No. 03/Bang/2020 Assessment Year : 2015-16 M/S. Abb Global Industries & Services Pvt. Ltd. (Earlier Known As Abb The Deputy Global Industries & Commissioner Of Services Ltd.) Income Tax, 21St Floor, Wtc, Circle – 1(1)(1), Dr. Rajkumar Road, Bangalore. Vs. Malleshwaram, Bangalore – 560 055. Pan: Aadca3217B Appellant Respondent : Smt. Tanmayee Rajkumar, Assessee By Advocate Revenue By : Ms. Neera Malhotra, Cit-Dr Date Of Hearing : 01-03-2023 Date Of Pronouncement : 17-03-2023 Order Per Beena Pillaipresent Appeal Is Filed By Assessee Against The Final Assessment Order Dated 30.10.2019 Passed By The Ld.Dcit, Circle – 1(1)(1), Bangalore For A.Y. 2015-16 On Following Grounds Of Appeal: “The Grounds Stated Here Under Are Independent Of & Without Prejudice To One Another: 1. Assessment Bad In Law At The Outset, Abb Global Industries & Services Private Limited (Hereinafter Referred To As 'The Appellant' Or 'The Company') Prays That The Order Dated 30Th October 2019

method in the TP study report. The TPO also erred on facts and in Page 4 of 15 IT(TP)A No. 3/Bang/2020 ABB Global Industries and Services Pvt. Ltd. law treating outstanding receivables as a separate international transaction as per provisions of section 92B of the Act. 2.6 Treatment of provision no longer required as non- operating income